Professional Documents
Culture Documents
www.innovation africa.org
www.innovationafrica.org
Pol/Eco Influences
French Revolution
Technology Innovation
Land-iron & coal resources Capital-OT,BKn Labour-division of labour/fact. Workers. Enterprise-investment by landowners in new industry Land-pig iron coal Capital-joint stock, issuing of notes, stable banking system Labour-education of workers Enterprise-investment by State and VCs Land-coal, petrol, other metals Capital-int. Finn. Labour-more skilled, demise of child labour, Enterprise-inter war speculation Land-alluminium, silicone, petroleum Capital-sophis. Fin mkts, Labour-highly skilled, universal education,unions Enterprise-international investment
Marx
Capitalism
Electrical engineering/electricity/motor
Nuclear/oil/electronics/micro processing
www.innovationafrica.or g
Land-recycled/envio fM, Capital-single world market, money Francis Stevens George Labour-know.workers 3 Enterprise-monopolistic media,IT, private ins. investors
The world is characterise by two sets of economies.The New Economy is characterise by information literate persons creating new products and services. This new economy will experience rising living standards. At the other end, we find the Old economies. These are characterise by people with outdated skills, that participate in a limited manner in the world economy. This economy will experience stagnation and no growth. These two economies will be defined by a widening Digital Divide.
www.innovationafrica.org
My Model: To Make the New Economy work in Africa: Starting Point Based on Joseph Schumpeters ideas
5
Well educated, information Literate. These men and women participate in the economy as creative entrepreneurs.
Information based Products Internet, ICT Tele Services, E-commerce Intangible Assets Net Entrepreneurs
Not well educated, less educated, not information literate, outdated skills. Limited participation.
To move the Old economy to the New Economy Investment in training programs for all sectors of society, developing information literate leaders, entertaining and encouraging private sector initiatives. Innovation is the KEY Time scale 5-10 years.
www.innovationafrica.org
Well educated, information Literate. These men and women participate in the economy as creative entrepreneurs.
Information based Products Internet, ICT Tele Services, E-commerce Intangible Assets Net Entrepreneurs
Not well educated, less educated, not information literate, outdated skills. Limited participation.
Not well educated, less educated, not information literate, outdated skills. Limited participation.
African countries focused on commodity products. The prices of commodities fell over time. Terms of trade worsen. Many failed to diversify into products that saw rising terms of trade. Non participation in the International Trading regimes because of outdated skills. Unmarketable skills Tourism was a late comer and of course because of poor infrastructure, many could not full develop their tourism potential. Many basic infrastructure industries were government owned. Inefficient and often badly managed. Remember one of the problems in Africa has been the lack of skills in the Industrial Age. Not enough engineers to maintain machines and plants. Traditional Western aid provided some industrial infrastructure, BUT because we lacked skills and knowledge, we did not create any value from these.
www.innovationafrica.org
Key Elements
10
Need a good infrastructure. In the knowledge economy-human capital is part of the infrastructure! Tangible and Intangible infrastructure In the new paradigm, the tangible infrastructure is the information technology network. Many countries are privatising these as a condition from IMF/IBRD. Human Capital is the most important in order to create prosperity-the intangible. Intangible assets are the sources of value in the new economy. An information literate population has higher chance of increasing its standard of living than one that is not. Francis Stevens George www.innovationafrica.org
Conclusion
11
To join this New Economy we need to invest in our people. Knowledge is a key ingredient in a knowledge based economy Innovate!!
www.innovationafrica.org