Abstract

This article aims to illustrate the factors determining the process of knowledge creation and innovation, focusing on interactive learning, the sharing of tacit knowledge and the development of creativity. It then compares three different forms of regulation of economic relationships - the free market, governance, and government models - focusing on promoting a greater speed of change more than the static factors of competitiveness. Finally, it illustrates the characteristics of competence centres as a new tool of innovation policy which may be appropriate in the evolution of European industry towards the knowledge economy.

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