The Theory of Knowledge Economy and the Development of New Technology
Abstract
In this age and world of knowledge-based economy, the importance of a corporation's “know-how” has exceeded that of its tangible assets, and in turn has become its most prized value. In other words, a corporation's most significant resources are no longer tangible assets such as money capital, real estate, factories…etc. Instead, it's the intangible assets such as know-how and intellectual property rights. Celebrated American economist Lest C. Thurow published a study in 1999 which showed that in 1990, among the world's 10 largest corporations, there were only two from the U.S. However, since 1998, there are nine U.S. corporations in the world's top 10. And in the top 25, there are twenty U.S. corporations, or 80% of the list. According to Thurow, this rapid rise to the top is the result of U.S.'s emphasis on knowledge-based economy, where corporations put more value on intangible assets and actively develop knowledge-based products.
In examining Chinese Taipei's industrial infrastructure, it is apparent that our infrastructure has changed from an investment-oriented nature to an innovation-oriented one. In light of this change, industrial development must also progress towards “combining knowledge with technology and innovation” as a basis of maintaining market competitiveness. In order to meet the highly competitive international environment and the demands of industrial upgrade, to accelerate technological innovations, and to strengthen industrial competitiveness, it is imperative to promote knowledge-based economy and new knowledge-based industries. In the 6th National Science and Technology Conference, consensus was reached among the attending industrial, academic, and legislative representatives: “Biological and Bio-technological industries” and “Information & Software Technology” shall be the priority in national industrial development. The key to such development is the continual improvement and innovation in technology, so that corporations may always have the best and most effective technological resources. Once again, for this purpose, the importance of knowledge-based industries and the services which they provided cannot be undermined.
As the above has shown, promotion and development of new knowledge-based industries are of great urgency. What future belies these industries will depend largely on the government's creation of a fair-competition environment and its relevant regulations. Therefore, the objective of this study is to conduct a research on fair trade and competition regulations in present local and international developments of new knowledge-based industries, in order to learn and ultimately contribute to the development of a successful local knowledge-based economy.