The New Economy in Germany and the United States: Policy Challenges and Solutions
AbstractThe American Institute of Contemporary German Studies (AICGS) assembled a group of researchers and policy makers in Germany and the United States to identify research and policy issues posed by the transformation we have come to call the new economy. This paper, which is the product of their collaboration, focuses on three issues. The first relates to defining what exactly constitutes the New Economy. The second issue involves identifying the forces driving the expansion of the New Economy. The third issue pertains to research and policy questions posed by the New Economy. In addressing these issues, the authors generate several key findings. While a common myth is that the Internet and e-commerce constitute the New Economy, we suggest that what is new about the New Economy involves the shift to knowledge and ideas as the source of competitive advantage. There are at least four central aspects that, when taken together, constitute what we mean by the New Economy--(1) globalization, (2) the shift to knowledge and ideas as the source of competitive advantage, (3) the increased importance of regional agglomerations and clusters, and (4) the emergence of entrepreneurship as an engine of growth and development. The forces facilitating the expansion of the New Economy are technological change, especially ICT, but also institutional change, such as reforms in the financial sector. New government policies are required in the New Economy. They enable the creation and commercialization of knowledge. While this study is able to identify the importance that New Economy plays in Germany and the United States, it raises many more questions than it answers. In particular, this study argues for a research agenda that explicitly compares both the similarities and differences that shifting to a New Economy has impacted Germany and the United States, and which types of policies have proven to be the most effective in generating and coping with the New Economy.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by HAL in its series Working Papers with number halshs-00721657.
Date of creation: 2002
Date of revision:
Note: View the original document on HAL open archive server: http://halshs.archives-ouvertes.fr/halshs-00721657
Contact details of provider:
Web page: http://hal.archives-ouvertes.fr/
Germany; United States; New Economy; Globalization; Knowledge Economy; Clusters; Entrepreneurship; ICT; Public Policy;
You can help add them by filling out this form.
reading list or among the top items on IDEAS.Access and download statisticsgeneral information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (CCSD).
If references are entirely missing, you can add them using this form.