The Role of the Virtual in Knowledge- Based Economies, Organizations, and Localities

In the context of globalization and risk management, knowledge and the virtual are key concepts that are poorly understood by decision makers and social theorists. This article refutes the OECD’s presumption that knowledge is an intangible, fixed asset, by showing the importance of context, scale and the ‘virtuality’ of knowledge in risk-management, communication, and knowledge management The article examines factors which maintain knowledge in a more fluid state. I begin with an examination of the rise of the notion of the ‘knowledge-based economy’ and assumptions about the nature of knowledge as information as a ‘thing’ which can be accumulated and commodified as an asset This is followed by a discussion of the virtuality of knowledge, as opposed to actuality. Methods such as figure-ground are noted as possible approaches to the contexts of knowledge use. 1 THE CHANGING STATUS OF KNOWLEDGE Overwhelmed with information, we face a crisis of knowledge. Knowing and know-how, the strategic skill of manipulating information, is ironically in short supply. The Canadian government -in its 1999 Throne Speech challenged citizens and the public service to embrace necessary changes in ways of working together and in understandings of the importance of information as an economic asset: Knowledge and creativity are now the driving force in a new economy our human talent, values and our commitment to working together will secure Canada’s leadership in the knowledge-based economy (Throne Speech: 1999).