Formation of the knowledge economy in the regions of Russia in 1998-2012 years.

The paper discusses approaches to the interpretation of the knowledge economy and its quantitative measurement. Based on the adapted methodology of the World Bank, knowledge economy conditions in the Russian regions during 1998-2012 years were estimated. Trends were positive in most regions due to economic growth and spread of information and communication technologies (ICT). The maximum improvement of the conditions is shown in Voronezh region, Tatarstan, Tyumen oblast and Bashkortostan. An original method for the knowledge economy impact assessment, including indicators of sustainable development, has offered in the article. The new economy is concentrated in Moscow, Saint Petersburg, Krasnodar, Novosibirsk and Kaluga regions, Tatarstan and Moscow region. Methods and results of the study can be used for self-diagnosis of regional administrations

Keywords: knowledge economy, Russian regions, index of knowledge economy, innovation, human capital, ICT, sustainable development

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