National policies concerning the economic role of higher education

At the beginning of the 21st century it is virtually taken for granted that the socio-economic development of a society is becoming more and more dependent on the way knowledge is produced, transferred, and handled by that society. In view of their traditional role in the production, transfer, dissemination and handling of knowledge, universities and colleges are, at least potentially, key socio-economic organisations in any society. However, there are serious doubts worldwide whether these organisations in their traditional fashion are capable of playing this important role satisfactorily.