PERSPECTIVES OF LITHUANIA IN KNOWLEDGE-BASED ECONOMY: ASPECT OF NATIONAL INNOVATION SYSTEM ANALYSIS

Abstract

M. Polanyi (1958) stressed that humanity experience the age of great transformations. Processes of knowledge creation, acquisition, dissemination and application create economic value. The result of such transformations could be interpreted as Knowledge-based Economy (KBE). There was highlighted that KBE is not a branch of economy. It was formed because of the need and determination to create knowledge with a view to achieving economic and social welfare which could be used to satisfy the thirst for knowledge. There was stressed in the article that key policy recommendations concerning KBE creation is to strengthen economic and social fundamentals; facilitate the diffusion of ICT; foster innovation; invest in human capital and stimulate entrepreneurship in the country. In order to ensure creation and application of knowledge there should be created stabile and adequate national innovation system (NIS). It is presented as a key measure for KBE problem solving. The research problem being solved in this article is: how to assess the penetration of knowledge in the state’s economy in order to present Lithuania’s perspectives in KBE. The aim of the article was to highlight the theoretical constitution of KBE as well as NIS in order to evaluate Lithuania’s perspectives in KBE. Seeking to solve scientifi c problem and to reach the aim, the conception of KBE and NIS was crystallized in the article. In order to evaluate Lithuania’s perspectives in KBE there was made analysis of main criteria from the macroeconomic standpoint; analyzed Lithuanian situation from the perspective of Global Competitiveness Index (GCI), Knowledge-based Economy index (KEI) as well as Summary Innovation Index (SII).