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Scan Globally, Reinvent Locally

Knowledge Infrastructure and the Localization of Knowledge

Keynote Address: First GDN ConferenceDecember 1999, Bonn

Joseph StiglitzChief Economist, The World Bank

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Importance of GDN

End of colonialism and of Cold War Need to prevent new intell. colonialism

» Example of trying to impose open cap. accts. Need to have “country in driver’s seat” Key role of GDN to insure that outcome. Long-term power of ideas: e.g. transparency Core standards for democratic debate to

promote global consensus-building.

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Knowledge Infrastructure & the GDN

Global public goods: disembodied knowledge. Power of Internet & the GDN. Human embodiments of knowledge more like

private goods. Rethinking the Knowledge Bank as operating

with the research & policy institutes of GDN.

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Three Main Theses

Localization of knowledge required by complexity & variety of societies.

Practical know-how is tacit knowledge transferred by horizontal methods.

Societies through knowledge institutes take driver’s seat in local learning process.

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General-Local Dimension of K

“Drive on the left” not best practice in London. “Every alleged example of local implementation of

central policy, if it results in significant social transformation, is in fact a process of local social discovery.” [Donald Schön]

Job of GDN institutes = preparing “best practices” for local transplanting.

Knowledge Bank scans globally; GDN institutes reinvent locally.

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Codified-Tacit Dimension of K

Codified K is spoken, written, & downloaded. Tacit K: ride a bike, know a face, speak native

language grammatically. Tacit K transferred by horizontal methods:

apprenticeships, secondments, twinning. Central Role in identifying who has know-how,

matching w/clients, and certifying quality.

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Active Social Learning

Negative effects of passive learning» “Default theory”: Standardized best practices

imposed by aid and conditionalities.» Impairs self-confidence and sense of self-efficacy in

country. Active social learning = Country in driver’s seat

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Social Learning and Democracy

“If you teach a man anything he will never learn it” [G.B. Shaw]

Learning how to learn. Shortcomings of technocratic dev. models. Consensus-building = “democracy-

friendly” dialogue. Role of GDN institutes. Ownership comes from active involvement. Ownership necessary for successful

development transformation.