Essay regarding Role of Ict

The role of ICT related overseas direct investment in economic development in small catching-up economies: implications for Estonian competitiveness technique Marek Tiits, Archimedes Groundwork Deliverable of the Work Package 7

Inner draft 30 June june 2006

Motivation and expected results of current line of policy research Estonia, similarly to various other member claims as well as the EU-25 as the whole, is currently going through careful rethinking of the cases for longer term socioeconomic creation and the respective strategy choices. Very much in-line with the EU's Lisbon Strategy, broad in innovation policy with is actually implications for education, employment, science and technology policy as well as all the other areas of general public policy, should be seen as the actual core of the policy procedure. The traditional experience over the last few hundred years demonstrates vividly, that in small financial systems foreign purchase bringing about rapid technological, managerial and cultural change have been the very the main element driver in catching-up process. Therefore , since highlighted inside the Estonian most current R& D and advancement policy assessment, produced by the Secretariat from the Estonian R& D Authorities for the us government of the Republic, integration of well targeted FDI technique into wider development strategy is absolutely essential. 1 Equally current and prospective upcoming developments in ICT sector are of special importance in this circumstance, as more than half of output increase in OECD countries offers derived recently from the ICTs and the related organisational and social transform. Therefore , current line of research of the IST NATURLICH eVikings II project, looks for to pull lessons coming from - the historic industrialisation paths of European small countries and more recent success of FDI based industrialisation strategies in Ireland, Singapore, etc . -- the new trends in IST R& DI and industrial purchase in OECD countries and - the near future IST related development scenarios from Euro Commission, ISTAG, NSF, several Asian government authorities, etc . featuring thereby insight to the policy thinking for: - the Foreign Entrepreneur Service with Enterprise Estonia, 2 - the impending Estonian R& D and innovation strategy 2007-2013, -- the nationwide development plan and condition budget approach 2007-2013, To be able to maximise the relevance from the efforts and smooth take-up of the benefits, the main a conclusion of this brand of research happen to be communicated, as a part of the on-going research, right to the key policy-makers from crucial ministries and executive companies, such as Ministry of Economic Affairs and Communications, Ministry of Education and Exploration, Ministry of Finance, as well as foreign investment arm of Enterprise Estonia, but also to the central bank, etc . Also newsletter of the leads to the Record of the Estonian Parliament (RiTo) is searched for, contributing thus to the R& DI and economic coverage discussion on the parliamentary level.

1

Marek Tiits, Rainer Kattel, Tarmo Kalvet and Rein Kaarli, Competitiveness and future outlooks of the Estonian economy, The state of hawaii Chancellery of the Republic of Estonia, Tallinn 2003, http://www.riigikantselei.ee/failid/RTDI_in_Estonia_2003.pdf. 2 Venture Estonia is usually an agency within the Ministry of Economic Affairs and Marketing communications, http://www.investinestonia.com

MUSTAND 20. september 2005

Tehnoloogiamahukad vГ¤lisinvesteeringud ja majandusarengu strateegia vГ¤ikeriigis Marek Tiits, [email protected] ee*

Sisukord 1 . Lühikokkuvõte........................................................................................................... 2 installment payments on your Sissejuhatus................................................................................................................ a few 3. Tehnoloogiline areng ja majandustegevuste globaalne ümberpaiknemine............... 4 4. Väikeriigid globaalsetes tootmisvõrgustikes............................................................. 7 your five. Eesti atraktiivsus välisinvesteeringute...