Prof. Dr. Elsadig Musa Ahmed Anwar Ammar

2017 World Association for Sustainable Developed Conference

E-mail: elsadig1965@gmail.com

Mobile: +60126330517

16th -18th May 2017, Manama, Kingdom of Bahrain

Faculty Of Business

BIOECONOMY AND ITS CONNECTION

TO KNOWLEDGE-BASED ECONOMY

The knowledge-based economy (K-economy)

is not confined to information and

communication technology (ICT). Before the

evolution of the ICT, it was the knowledge that

was embodied in human beings' “human

capital” and technology that were embodied in

the capital investment undertaken by the Asian

economies that brought about the so-called

Asian miracle.

The bioeconomy refers to the production of a

wide range of goods and services, from plant,

animal and forest-based material. It is more

than just grain based bio-fuels or bio-diesel as

extensively highlighted in Latin America. It’s

related to biotechnology activities and other

bio activities based on knowledge generated

from the bio activities and extension of

Knowledge-based economy.

The main concern of developing bioeconomy

is the environmental damage through the

undesirable output produced by the activities

of bioeconomy. Moreover, the bioeconomy

centered on research and development (R&D)

collaborations across deferent sectors and

public and private sector in order to

breakthrough new products through invention

and innovation.

For the bioeconomy to be realized

and put in practice it should be well

developed regulatory framework as a

platform for the bioeconomy to be

run and work smoothly.

Changes in productivity are a major concern in

any economy, because of the link between

productivity and living standards. The ultimate

goals of productivity improvement are greater

competitiveness, higher profitability, higher

living standards, and better economic and

social prosperity.

TFP which indicated as the combined contribution of

quality of the factors of production and an indicator of

the technological progress that is showing the spillover

effects that must transfer the technology to the hosting

economy and upgrade the skills of its human capital,

that is what called productivity driven.

*TFP can explain the growth in a K-based economy

because it captures endogenous technical change and

other characteristics of the K-based economy, including

diffusion of knowledge, organisation, restructuring,

networking, and new business models that would

contribute to market efficiency and productivity.

In terms of methodology the paper closed the gap in past studies under taken in bioeconomy research by introducing three variation models to measure bioeconomy contribution to the economies via combined methods of both econometric and growth account methods to calculate the parameters of the variables involved and productivity indictors based on extensive growth theory and intensive growth such as (labour productivity and capital productivity). This is considered to be the significant contribution of this study to the body of knowledge.

Bioeconomy is new stream of knowledge-based

economy that existed in the new era of the information

and communications technology (ICT) that is provided

hardware and software to facilitate economic activities

around the globe. Beside ICT as a driver of knowledge-

based economy, bioeconomy emerged based on biotechnology revolution.

It should be noted that the bioeconomy refers to the

production of a wide range of goods and services, from

plant, animal and forest-based material. It is more than

just grain based bio-fuels or bio-diesel as extensively

highlighted in Latin America. It’s related to

biotechnology activities and other bio activities based

on knowledge generated from the bio activities and

extension of Knowledge-based economy that evolved

due to ICT and human capital significant contribution

to the economic activities.

Unlike Latin American countries that

narrowed bioeconomy to biofuel activities

related to agricultural activities, USA is the

first to publish its bioeconomy blueprint in

2012 that is explained wide range of

bioeconomy activities that linked to

knowledge-based economy activities.

The main concern of developing bioeconomy is the

environmental damage through the undesirable

output produced by the activities of bioeconomy and

human health concern. To ensure the sustainable

development in its three dimensions (technological

progress, social development and environmental

protection) that should be addressed through

addressing green productivity issues to ensure the

right of forthcoming generations to enjoy better

standard of living and wellbeing.

Moreover, the bioeconomy centered on research and

development (R&D), smart partnerships and

collaborations across deferent sectors and public and

private sector in order to breakthrough new products

through invention and innovation. Finally, for the

bioeconomy to be realized and put in practice it

should be well developed and agreeable regulatory

framework as a platform for the bioeconomy to be

run and work smoothly to overcome all the issues

associated with it products around the globe.