Innovation and Knowledge-Based Economics
This is the current rage in economic development. Some would call it the paradigm (whatever that may be). The more cynical among us label it the politically correct approach to revitalize your community and save Western Civilization. If ever there were an economic development strategy whose proponents are true believers on the path to salvation, Innovation and knowledge-based economics is it.
Innovation economics is an offshoot of neo-Keynesian economics and the knowledge-based Economy, while certainly interrelated with innovation economics, has a longer history and can usefully be thought of as a derivative of the old Third Wave, Post Industrial Revolution Era. There is an extensive, frequently obtuse and highly mathematical/modeling literature associated with this approach and this literature certainly could use a skeptical, in reasonably readable English, critique. Since everybody in economic development must follow this strategy, it might be helpful if we all just take a minute (actually about fifteen) and get better acquainted about the theory which underlies such concepts as entrepreneurism, innovation, creativity and many, many others.
The Curmudgeon does not reject this approach, but he believes very strongly that any economic developer that attempts to implement this strategy should be aware of its underlying goals, values and its origin. In our current world, it is the solution to all urban and community ails, the key which opens up heaven’s doors.
Innovation and Knowledge-Based Economics is very real, but maybe, just maybe it may not solve all problems.