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Gendering the Knowledge Economy
Also by Sylvia Walby
GENDER TRANSFORMATIONS
THEORIZING PATRIARCHY
PATRIARCHY AT WORK
CONTEMPORARY BRITISH SOCIETY (co-authored)
EUROPEAN SOCIETIES: FUSION OR FISSION? (edited)
NEW AGENDAS FOR WOMEN (edited)

Also by Heidi Gottfried

FEMINISM AND SOCIAL CHANGE: BRIDGING THEORY AND PRACTICE (edited)
EQUITY IN THE WORKPLACE: GENDERING WORKPLACE POLICY
ANALYSIS (edited)
GENDER AND GLOBALIZATION IN CRITICAL SOCIOLOGY (edited)

Also by Karin Gottschall

BEYOND STANDARD WORK IN CRITICAL SOCIOLOGY (edited)
Gendering the Knowledge
Economy
Comparative Perspectives

Sylvia Walby
Department of Sociology, University of Lancaster, UK

Heidi Gottfried
Department of Sociology, Wayne State University, USA

Karin Gottschall
Centre for Social Policy Research and Graduate School of Social Sciences, University of
Bremen, Germany

Mari Osawa
Institute of Social Science, University of Tokyo, Japan
*
Selection and editorial matter © Sylvia Walby, Heidi Gottfried,
Karin Gottschall and Mari Osawa, 2007.
Individual chapters © their respective authors, 2007
Softcover reprint of the hardcover 1st edition 2007 978-1-4039-9457-8
All rights reserved. No reproduction, copy or transmission of this publica-
tion may be made without written permission.
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save with written permission or in accordance with the provisions of the
Copyright, Designs and Patents Act 1988, or under the terms of any licence
permitting limited copying issued by the Copyright Licensing Agency, 90
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Any person who does any unauthorized act in relation to this publication
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The authors have asserted their rights to be identified as the authors of this
work in accordance with the Copyright, Designs and Patents Act 1988.
First published 2007 by
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PALGRAVE MACMILLAN is the global academic imprint of the Palgrave
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and other countries, Palgrave is a registered trademark in the European
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ISBN 978-0-230-57570-7 ISBN 978-0-230-62487-0 (eBook)
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This book is printed on paper suitable for recycling and made from fully
managed and sustained forest sources.
A catalogue record for this book is available from the British Library.
Library of Congress Cataloging-in-Publication Data
Gendering the knowledge economy: comparative perspectives / edited by
Sylvia Walby ... let al.l.
p. cm.
Includes bibliographical references and index.
ISBN 978-1-4039-9457-8 (cloth)
1. Information technology - Economic aspects. I. Walby, Sylvia.
HC79.155G462007
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Transferred to digital printing in 2007.

Contents

List of Figures vii

List of Tables viii
Preface x

Notes on Authors and Editors xi

Part I Re-conceptualizing the Knowledge Economy,

Gender and Regulation 1

1 Introduction: Theorizing the Gendering of the Knowledge

Economy: Comparative Approaches 3
Sylvia Walby

2 Gender and the Conceptualization of the Knowledge Economy

in Comparison 51
Karen Shire

Part II Comparative Regulation 79

3 Comparative Livelihood Security Systems from a Gender

Perspective, with a Focus on Japan 81
Mari Osawa

4 Varieties of Gender Regimes and Regulating Gender Equality

at Work in the Global Context 109
Ilse Lenz

5 Similar Qutcomes, Different Paths: The Cross-national Transfer

of Gendered Regulations of Employment 140
Glenda S. Roberts

Part III Gendering New Employment Forms 161

6 Self-Employment in Comparative Perspective: General Trends

and the Case of New Media 163
Karin Gottschall and Daniela Kroos

v
vi Contents

7 Living and Working Patterns in the New Knowledge Economy:

New Opportunities and Old Social Divisions in the Case of
New Media and Care-Work 188
Diane Perrons

8 Are Care-Workers Knowledge Workers? 207

Makiko Nishikawa and Kazuko Tanaka

9 Who Gets to be a Knowledge Worker? The Case of UK Call

Centres 228
Susan Durbin

10 Restructuring Gendered Flexibility in Organizations:

a Comparative Analysis of Call Centres in Germany 248
Ursula Holtgrewe

Appendix to Chapter 3 271

Bibliography 281

Index 313
List of Figures

3.1: Growth of real wages (by cohort) (Male workers irrespective

of educational background and corporate size) 87
3.2: Labour market regulations in the late 1980s, late 1990s and
2003 96
3.3: Performance of 15-year-old students and gender (2000).
Mean performance of 15-year-olds on the PISA reading,
mathematical and scientific literacy scales 99
3.4: Percentage of tertiary qualifications by field of study and
by gender (2002) 100
3.5: Percentage of tertiary qualifications in the field of
engineering, manufacturing and construction by gender
(2002) 100
3.6: Old age pension schemes in different countries 103
4.1: The institutional context of regulation for the women's
movement 111

4.2: Regulatory framework of market coordinated capitalism 120

4.3: Regulatory framework of the corporatist varieties of
capitalism 120
4.4: Regulatory framework of the gender regime 122
8.1: Four modes of knowledge conversion 216

vii
List of Tables

1.1: Case study countries: size and level of economic and human
development 26
1.2: Forms of capitalism 26
1.3: Comparing gender relations 27
1.4: Patterns of gender relations: male breadwinner; gender
regime 27
1.S: Comparing the regulation of employment by class and
gender 28
1.6: Percentage of women employed in knowledge economy
sectors (Shire) 30
1.7: Incidence of temporary employment by individual and job
characteristics, 2000 31
1.8: Temporary workers as a percentage of total dependent
employment 32
1.9: Contributions of temporary and permanent jobs to total
employment growth, 1990-2000 32
1.10: Self-employment, 1973-2004 34
1.11: Self-employment by gender share, and gender growth rate 36
1.12: Part-time employment as a proportion of total employment,
1973-2004 37
1.13: Women's share of part-time employment 37
1.14: Part-time employment as a proportion of women's
employment 39
2.1: Economic activities comprising the information and
communication technologies (lCT) sector S9
2.2: Economic activities comprising the information sector 61
2.3: Economic activities comprising the knowledge-intensive
services (KIS) sector 63
2.4: Proportion of total, female and male employment in new
economy sectors in Britain, Germany, Japan and the
United States 66

viii
 List of Tables ix

2.5: Proportion of female employment in new sectors in Britain,

Germany, Japan and the United States «}b) 66
2.6: Percentage of female KIS employment by industry (female
share of industry employment) in Britain, Germany, Japan
and the US 68
2.7: Gender composition of ICT occupations 71
2.8: Proportion of part-time employment in sector, and
proportion of women in part-time work (in parentheses) 73
3.1: Summary indicators of work/family reconciliation policies
and relevant flexible work arrangements 102
3.A1: Public pension schemes in four countries (from
perspective of women's lifestyle choice) 273
6.1: Self-employment (SE) shares (outside agriculture, <}b) 166
6.2: Trends in the sectoral distribution of self-employment
(outside agriculture) 168
8.1: Distribution of respondents by experience and employment
type 220
8.2: Important factors in successful home care work (M.A.) 220
8.3: Effective ways to develop knowledge and skills (M.A.) 221
8.4: Average hours per week spent at the office by employment
status 222
8.5: Important factors in successful home care work by
employment status (M.A.) 222
8.6: Effective ways to develop knowledge and skills by
employment status (M.A.) 223
8.7: Opportunity to discuss with colleagues by employment
status 224
8.8: Criteria used to judge quality of work (S.A.) 225
9.1: Employment status (advisers, team managers and senior
managers) 237
9.2: Educational qualifications (team managers) 241
Preface

GLOW: Globalization, Gender and Work Transformation

The international network on Globalization, Gender and Work Transfor-
mation (GLOW) is composed of scholars from the US, UK, Germany and
japan who collaborate on topics related to gender, the knowledge economy,
and new employment forms in a global context.
The network has been meeting since 1998 and now holds events about
twice a year, usually in the countries of network members. We have pre-
sented our work to public and academic audiences at the American Socio-
logical Association conference in Anaheim 2001, the University of Tokyo in
2002 and 2004, the conference of the Society for the Advancement of Socio-
Economics at the University of Provence in 2003, at the University of
Bremen in 2003, and the University of Leeds in 2004. We have held
workshops at the Sozialforschungsstelle Dortmund in 1998 and 2000,
University of Tokyo in 2002 and 2004, and the University of Leeds in 2003
and 200S, in addition to meetings alongside the public presentations.
A large number of grants have supported the meetings of the network
including: the Council for European Studies at Columbia University,
the American Sociological Association/National Science Foundation, the
Hanse Institute for Advanced Studies Delmenhorst and Bremen University,
the japan Society for the Promotion of Science, the Center for Global
Partnership of the japan Foundation, the University of Tokyo, the Daiwa
Anglo-japanese Foundation, the UK Economic and Social Research Council
and the University of Leeds.
The chapters in this volume represent key aspects of the current work of
the GLOW network by Susan Durbin, Karin Gottschall, Ursula Holtgrewe,
Daniela Kroos, Use Lenz, Makiko Nishikawa, Mari Osawa, Diane Perrons,
Glenda Roberts, Karen Shire, Kazuko Tanaka and Sylvia Walby. We are
grateful to colleagues for discussions which at various stages have contri-
buted to the development of our ideas in the GLOW network, includ-
ing: joan Acker, Keiko Aiba, Monika Goldmann, judith Lorber, Ronnie
Steinberg, jenny Tomlinson and Anne Witz. We would like to thank Silke
Birkenstock-Niekamp and Tatiana Bezrodnaia for help with the production
of the manuscript.

Sylvia Walby
Heidi Gottfried
Karin Gottschall
Mari Osawa

x
Notes on Authors and Editors

Susan Durbin is a Senior Lecturer in Human Resource Management at

the Bristol Business School, University of the West of England, UK. Her
research areas include: gendering knowledge/the knowledge economy; the
gender-technology relationship; and women's careers in organizations, with
a specialist focus upon call centres. Her current research analyses women's
organizational networks and whether and in which ways these are utilized
to create and disseminate knowledge and build social capital. Susan Durbin
is a member of the international Globalization, Gender and Work Transfor-
mation network, a network that engages with comparative research in the
UK, USA, Japan and Germany. She is also a member of the Employment
Studies Research Unit (ESRU) at the University of the West of England.
Her other recent publications include 'Gender, Skills and Careers in UK
Call Centres' (in]. Burgess and]. Connell (eds), Developments in the
Call Centre Industry: Analysis, Policy and Challenges (Taylor and Francis
2006)).

Heidi Gottfried is Professor of Sociology at Wayne State University.

Her research focuses on employment regulation, gender and work in
comparative perspective. She is editor of a symposium on Feminism
and Social Change: Bridging Theory and Practice (University of Illinois
Press 1996), co-editor of Equity in the Workplace: Gendering Workplace
Policy Analysis (Lexington Press 2004), co-editor of Gender and Globaliza-
tion (2004) and editor of The Next Upsurge (200S) in Critical Sociology.
Building on previous research, a new project examines social contracts in
transition.

Karin Gottschall is Professor of Sociology, Head of the 'Gender Policy

in the Welfare State' Unit at the Centre for Social Policy Research and
Director of the Graduate School of Social Sciences at the University of
Bremen. Over the past several years her publications and research have
focused on new employment forms, labour-market policy, politics of
public education and welfare-state reform in comparative perspective.
Currently, she participates in the newly set up EU Network on Reconcilia-
tion of Work and Welfare (RECWOWE) and is a member of the Scientific
Advisory Board of the German Socio-Economic Panel. She is author
of a monograph on the German sociological discourse on social inequality
and gender (Soziale Ungleichheit und Geschlecht, Leske & Budrich 2000)
and co-editor of Beyond Standard Work, Special Issue of Critical Sociology
(Spring 2007).

xi
xii Notes on Authors and Editors

Ursula Holtgrewe is a senior researcher at the FORBA (Forschungs- und

Beratungsstelle Arbeitswelt) in Vienna, Austria, and a member of the co-
ordinating team of the 'Global Call Center Industry Project'. Her main fields
of study are service and knowledge work and organization, organizations
and subjectivity, and the boundaries of markets and property rights in the
knowledge society. Her studies of Deutsche Telekom and of telephone call
centres have been funded by Deutsche Forschungsgemeinschaft, Hans-
Bbckler-Stiftung and the Russell Sage Foundation. Her most recent books are
Flexible Menschen in flexiblen Organisationen? (Sigma, forthcoming in 2006),
Telekom: Wie machen die das? (UVK 2002, with Doris Blutner and Hanns-
Georg Brose) and Re-Organizing Service Work. Call Centres in Germany and
Britain (Ashgate 2002, co-edited with Christian Kerst and Karen Shire).

Daniela Kroos is a junior research fellow at the Graduate School of Social

Sciences (University of Bremen) and specializes in comparative welfare state
analysis and labour market change. Her PhD project emphasizes labour
market characteristics of Bismarckian welfare states and deals with non-
standard employment and trajectories of employment recommodification
in Germany and France.

Ilse Lenz is Professor of Social Structure and Gender Studies at the Ruhr-
University Bochum, Germany, and Coordinator of the Marie Jahoda guest
professorship for international gender studies. Her research areas include:
globalization and transnationalism; feminism, social movements and insti-
tutional change; globalization, gender and work; as well as comparative
research on the German and the Japanese new women's movement with
Michiko Mae. Recent major publications include Reflexive Karper? as editor
(VS Verlag 2003) ('Reflexive Bodies. The Modernization of Sexuality and
Reproduction'), Crossing Borders and Shifting Boundaries (VS Verlag 2003),
Frauenbewegungen weltweit as editor (Leske & Budrich 2000) ('Women's
Movements Worldwide'), and Getrennte Welten, gemeinsame Modeme? as
editor (Leske & Budrich 1997) ('Separated Worlds, Shared Modernity. Gender
Relations in Japan').

Makiko Nishikawa is Associate Professor at the Faculty of Business Admin-

istration, Hosei University and Hosei Management School. Her research
focuses on gender and employment, care-work in comparative perspective,
atypical employment, and quality of working life. She is currently involved
in the GLOW comparative research project on care-work as well as in a
project focusing on the reconciliation of paid work and care-work in Japan.

Mari Osawa is Professor of Social Policy at the Institute of Social Science,

University of Tokyo, and member of the Science Council of Japan. She spe-
cializes in welfare issues, especially in relation to gender. She has worked as
 Notes on Authors and Editors xiii

a Marie Jahoda Professor (International Visiting Professorship) at the Ruhr-

University of Bochum, as well as a Visiting Professor in Gender and Devel-
opment Studies, Asian Institute of Technology. She is an editor of the journal
Gender, Technology and Development (Sage). Her English publications include:
'Government Approaches to Gender Equality in the mid-1990s', Social
Science Japan Journal, Vol. 3, No.1, 2000; 'Koizumi's "Robust Policy": Gov-
ernance, the Japanese Welfare Employment Regime and Comparative
Gender Studies', Glenn D. Hook (ed.) Contested Governance in Japan, Sites and
Issues (Routledge 200S).

Diane Perrons is Director of the Gender Institute at the London School of

Economics. Her research focuses on the social and spatial implications of
global economic restructuring, paying particular attention to the changing
composition of employment, gender and regional inequalities and the social
reproduction of daily life. Her research has been funded by the Economic
and Social Research Council, the Equal Opportunities Commission and the
European Union. She recently published Globalization and Social Change.
People and Places in a Divided World (Routledge 2004) and has just finished
editing the anthology Gender Divisions and Working Time in the New Economy.
Changing Patterns of Work, Care and Pubic Policy in Europe and North America
(Edward Elgar 2006) with colleagues from Oxford and Manchester.

Glenda Roberts is Professor at the Graduate School of Asia-Pacific Studies,

at Waseda University in Tokyo. She is also an editorial board member of the
Social Science Japan Journal (University of Tokyo and Oxford University Press),
and Treasurer of the Section for East Asian Anthropology in the American
Anthropological Association. Her main research interests are gender, work,
migration and population issues, especially in regard to Japan. Her books
include Staying on the Line. Blue-Collar Women in Contemporary Japan (Uni-
versity of Hawaii Press 1994) and the edited volume with Mike Douglas,
Japan and Global Migration. Foreign Workers and the Advent of a Multicultural
Society (University of Hawaii Press 2003).

Karen Shire is Professor of Comparative Sociology in the Institute of Soci-

ology and Institute of East Asian Studies at the University Duisburg-Essen,
Germany, Her comparative research on knowledge-intensive service work
and employment change has been funded by the German Science Founda-
tion and the Hans-Bockler Foundation, among others. Currently she is coor-
dinating an interdisciplinary research project for the German Ministry of
Education and Research on Working and Learning in Project-Based Network
Organizations as part of the Ministry's Future of Work research focus and
leading a research project on Employment and Gender in the German New
Economy for the North Rhine Westphalian Ministry of Innovation. She is
co-author of On the Front Line. The Organization of Work in the Infonnation
xiv Notes on Authors and Editors

Economy (Cornell University Press 1999 with S. Frenkel, M. Korcyznski and

M. Tam) and co-editor of Re-organizing Service Work. Call Centres in Germany
and Britain (Ashgate 2002, co-edited with Ursula Holtgrewe and Christian
Kerst).

Kazuko Tanaka is Professor of Sociology in the International Studies Divi-

sion, Director of the Center for Gender Studies, and Coordinator of the
Program in Gender and Sexuality Studies at the International Christian Uni-
versity, Japan. She is editor of the journal, Gender and Sexuality. Her current
research interests are in the fields of emotional labour in general and knowl-
edge building of care-work in particular. Her study 'Comparative Gender
Analysis of New Economy: Service and Information Oriented Aged Society'
was funded by Grants-in-Aid for Scientific Research, the Japan Society for
the Promotion of Science. She is currently actively involved in the net-
working of working women in Japan at the national level, based on the
efforts from the two-year project 'US-Japan Working Women's Workshop'
(which was organized by Professor H. Gottfried and Anne Zacharias-Walsh
in 2004). 'Keawaaku no Senmonsei: Mienai Rodo "Kanjyo Rodo" wo
Chushinni' (Professionalization of Care-Work: Emotional Labour as Invisi-
ble Labour) was published in Jyosei Rodo Kenkyu (Study of Women's Work),
2004. Her edited book Passive No More. Confronting Gender Issues in Contem-
porary Japan is forthcoming.

Sylvia Walby is Professor at the Department of Sociology at Lancaster Uni-

versity, UK. She has been Professor of Sociology at the Universities of Leeds
and Bristol, and Reader at the LSE; and was the founding President of the
European Sociological Association. Her recent work on gender equality has
been funded by the UK Economic and Social Research Council, the UK Equal
Opportunities Commission, the European Union Presidency, and the Euro-
pean Parliament; and she has ongoing research on the gendered knowledge
economy. Her books include: Gender Transformations (Routledge 1997), The-
orizing Patriarchy (Blackwell 1990) and Patriarchy at Work (Polity Press 1986),
and she has edited special issues of both Social Politics (200S, 12, 3) and Inter-
national Feminist Journal of Politics (200S, 7, 4) on 'Gender Mainstreaming'.
Her next book is Complex Social Systems in a Global Era (Sage 2007).
Part I
Re-conceptualizing the Knowledge
Economy, Gender and Regulation
1
Introduction: Theorizing the
Gendering of the Knowledge
Economy: Comparative Approaches
Sylvia Walby

Introduction
The knowledge economy is the future of the world of work. Its gendering is
central to understanding the nature of its associated employment practices
and its implications for the quality of working life. The development of
knowledge economies is affected by cross-cutting global processes and
national trajectories. A key issue is the conceptualization of the different
forms that class and gender relations may take, in order to advance com-
parative analysis of these processes. The knowledge economy, gender and
globalization are each key issues in contemporary social thought. In this
book we challenge and revise key claims in the debates on the knowledge
economy and the comparative analysis of varieties of capitalism, compara-
tive analyses of gender relations in the context of globalization. The book
is based on the work of the international network on Globalization, Gender
and Work Transformation (GLOW).
This introductory chapter presents a newly developed theoretical frame-
work to which the chapters in the book contribute in diverse ways. It criti-
cally reviews the theoretical debates pertinent to the comparative analysis
of the gendering of the knowledge economy in a global era and sets out
a new approach. It positions the contributions in the book within key
social science debates, especially: the conceptualization of the knowledge
economy and non-standard forms of employment; globalization and the
varied restructuring of polities and states; the regulation and deregulation
of employment; the de-gendering and re-gendering of employment prac-
tices; and the theorization of varieties of gender regime, as well as varieties
of capitalism.
The definition of the knowledge economy is highly contested. We explore
the implications of different definitions for the gendering of the knowledge
economy. One definition of the knowledge economy is of industries predi-
cated on information and communication technologies; another with the
information sector; a third with knowledge-intensive service industries;

3
4 Re-conceptualizing the Knowledge Economy

while yet others focus on the process of knowledge construction (Castells

1996; Nonaka and Takeuchi 1995). The concept of a 'knowledge' economy
has become more prevalent than that of the 'new' economy. We explore the
tension between the different connotations of these two concepts. The 'new'
economy has more often involved a focus on the changing regulation of
employment forms, especially restructuring associated with competitive
global economic pressures. We investigate the nature and gendering of the
new temporalities (e.g. temporary work, part-time employment), contractu-
alities (e.g. self-employment) and spatialities (e.g. call centres).
The knowledge economy has been implicated in quite divergent processes.
First, the development of a knowledge-based economy that provides higher
skilled jobs with greater autonomy, flatter hierarchies, flexible schedules
and improved quality of working life. Second, the development of a new
economy based on new information and communication technologies
(lCTs) is seen to fuel a globalization that tips the power relations between
capital and labour further away from labour, leading to the degradation of
the conditions of working life, especially in the increased precariousness of
employment. The relative balance between these processes is addressed
empirically in the chapters that follow.
There is a question as to whether these developments are common across
different countries, or whether there are diverse, path-dependent patterns
of development. We explore and develop the conceptualization of variations
in the patterns of gender relations and variations in the forms of capitalism.
We investigate the intersection of these sets of social relations in the chap-
ters of the book. The 'varieties of capitalism' literature has made various dis-
tinctions between different forms of capitalism, including that between
liberal and coordinated market economies (Hall and Soskice 2001). However,
these debates have tended to focus on class relations to the relative neglect
of other social divisions, such as gender. We investigate both theoretically
and empirically the ways in which the varieties in the forms of gender rela-
tions should be conceptualized and analysed. A framework for the analysis
of varieties of gender regime is developed, including not only the diver-
gences noted in the gendered welfare state literature (Orloff 1993; O'Con-
nor et al. 1999; Sainsbury 1994, 1996), but also variations in the regulation
of employment relations.
Global processes cross-cut these paths of development. Often, globaliza-
tion, seen through the lens of class inequality, has been understood to lead
to de-regulation and to the degradation of work, as a result of intensified
economic competitive pressures. Here we broaden the focus to include polit-
ical as well as economic processes, gender as well as class inequalities. New
polities emerging on the global stage, such as the EU, have new implications
for the regulation of employment. When gender is brought into focus, some
increased regulation of the workplace becomes visible, for example, the reg-
ulation of working time so as to better combine employment and caring,
 Theorizing the Gendering of the Knowledge Economy 5

and the regulation of equal opportunities. There are complex patterns of

regulation as well as deregulation, which differently affect class and gender
relations. The consequences for gender relations of changes in patterns of
regulation of emerging forms of employment are explored in the chapters.
Four countries are selected for comparison: the US, UK, Germany and
Japan. These countries cross-cut the major identified forms of capitalist pro-
duction, welfare state regime and gender regime. The US and the UK are
examples of liberal, institutionally thin, market economies, while Germany
is a corporatist, institutionally thick, market economy, and Japan somewhat
hybridized between the two, though often considered corporatist. In rela-
tion to the gender regime, the four countries lie on a spectrum in which the
most public is the US, followed by the UK, Germany and Japan. In terms of
gendered labour market regulation, Germany and the UK are subject to the
regulation of the EU, and thus have more developed regulations to support
gender equality and the combination of employment and caring.
This introductory chapter sets out the conceptual issues at stake in the
gendering of the knowledge economy, the development of the theoretical
framework for gendered comparisons and a consideration of the range of
possible implications for gender equality, as well as a comparative review of
the development of non-standard work in the four countries.

Defining the knowledge economy?

What is 'knowledge'? There are many different, highly contested definitions
of the knowledge economy, each of which has different implications for the
gendering of the economy. One approach is distinguishing the industrial
sectors that most contain 'knowledge'. A second is to treat the economy
holistically and to ask what difference the development of the knowledge
economy makes to different sections of the whole economy. A third is to
focus on the processes by which knowledge is created.
The first approach is to define the knowledge economy as specific indus-
trial sectors of the economy. This approach is used in a range of categoriza-
tions of the knowledge economy by EU, OECD and UN statisticians
(European Commission 2001a; Eurostat 2005; OECD 2002a, 2002b, 200Sa,
200Sb, 200Sc; UN Statistics Division 200Sa, 200Sb) and is developed further
by Shire (in this volume). They vary significantly as to how knowledge is to
be identified, especially the extent to which it is encoded in high-level tech-
nology and the extent to which it is embrained in highly educated workers.
One definition of the knowledge sector of the economy restricts it to the
industrial sector associated with the new information and communication
technologies, extended to encompass a range of new high-level technolo-
gies, such as biotechnology. In the EU definition this is equated with high
technology manufacturing, including the manufacture of relevant machin-
ery as well as the use of ICT in industries such as telecommunications,
6 Re-conceptualizing the Knowledge Economy

software, publishing and data processing. A second definition shifts the

focus of the knowledge-based industries towards the concept of informa-
tion, including industries that process information in a variety of forms. The
information sector, more narrowly defined than leT, focuses on content
industries such as publishing and media, and leT services such as telecom-
munications, software publishing and data processing, innovatively strad-
dling the conventional distinction between manufacturing and services. A
third definition is of the knowledge-intensive service sector including
not only high tech services, such as telecommunications and research, but
also knowledge-intensive market services, such as real estate, knowledge-
intensive financial services, such as insurance, and the extensive education,
health and recreational sectors. This last definition is confined to the service
sector, though this encompasses a higher proportion of employment than
the first two measures. The first two measures focus on innovative techno-
logical developments; the third focuses on human development through
education. Each of these measures has advantages and disadvantages result-
ing from the inclusion or exclusion of particular categories of economic
activity. The gender implications of the different definitions and measures
of the knowledge economy sectors are introduced later in this introduction
and explored in detail by Shire (in this volume).
A second approach treats the economy holistically, considering the impact
of changes on all the forms of employment, on the grounds that these are
all inter-related in a functioning economy, as argued by Perrons (2003 and
in this volume). The definition of the knowledge economy, as discussed
above, focuses on specific newly developing sectors in the economy. Such a
definitional strategy, by its restriction, implicitly lends support to the view
that the knowledge economy produces high quality work. However, other
('non-knowledge') sectors of the economy may be affected by the develop-
ment of the knowledge economy in quite different ways. They may be
affected as a result of leTs increasing the mobility of financial capital,
increasing global competitive pressures, tilting the balance of power towards
capital and away from labour (especially female and minoritized workers)
and producing new lower quality employment forms. The new economy
may thus have implications for the quality of jobs outside the high tech-
nology and knowledge-intensive sectors quite different from their implica-
tions for those within these sectors. Perrons (in this volume) explores the
inter-relationship of gendered patterns of employment in the new and old
sectors of the economy, and the re-creation of 'old' inequalities in new forms
of employment.
A third approach to the definition of knowledge focuses on the process of
creating knowledge and the importance of the movement of knowledge
from a tacit form to one that is explicit and capable of more direct exchange
and communication (Nonaka and Nishiguchi 2001; Nonaka and Takeuchi
1995). In this approach all work contains some tacit knowledge, even work
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