Planning and Budgeting

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Contemporary global economy is known as modern economy, digital economy or knowledge-based economy. Extraordinary promotion of the knowledge role in recent decades as the main factor of production (particularly regarding modern and knowledge-based industries) and also effective factor in improvement of total productivity of production factors, have been important in theorizing knowledge-based economy. In recent centuries and decades, economic thinkers of various schools have paid much attention to the role of knowledge in production and economy. However the speedy development of Information and communication Technology (ICT) and other modern sciences as well as globalization of economy have led to wonderful growth of knowledge effectiveness in contemporary economics and theorization in this field. Considering role of knowledge in the contemporary economics, many countries including Iran have been trying to plan their economic development policies according to this element. In order to collect the related information with the aim of improving, completing or repairing the country knowledge-based development policies, this paper studies the theoretical aspects of the subject as well as the experiences of the leading countries in this field. The findings of this paper shows that issues such as research and development activities commercialization, regional and inter-regional knowledge-based development policy-making, infrastructure and e-government services development, and so on are some shortcomings of the country’s knowledge-based development policies.

Keywords: Knowledge-based Economic Development, Total Factor Productivity, Knowledge-based Industries

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