Since the early 1970s, a more knowledge-based economy has been developing and it will be knowledge-based sectors that lead recovery in the 2010s.  This creates both a challenge and an incredible opportunity.  The challenge is to maximize the growth of knowledge-based sectors and firms in the teeth of both rising societal distrust and sharp reductions in public spending growth.  The opportunity is to embrace the acceleration of scientific and technological advances, opening up an unprecedented range of new business opportunities. 

An ever-widening range of ‘General Purpose Technologies’ are transforming societal infrastructure in combination with the rise of ‘experiential consumption’ which demands ever more sophisticated goods and services.  To adapt to these changes, an innovation ecosystem needs to emerge, supporting everything from small firm formation and market creation to innovation in large companies.  Getting this right is the key to maximizing employment growth and wealth creation in what otherwise might be a difficult decade.