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The is already a vast literature on the role of knowledge in economic growth but there is need to clarify the meaning and scope of this term and define the Romanian perspective on the relationship between knowledge-based economy and growth. This paper focuses on innovation systems in Romania as the key challenge and mean for embracing growth based on knowledge-based economy. The knowledge-based economy is a controversial term which nevertheless describes the important changes to the nature of growth and catch-up that have been taking place at the beginning of the twenty-first century.
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