Chapter 2 Basic Characteristics of Information Economy

Purpose This chapter is aimed at the elimination of contradictions and the development of a strong and transparent theoretical basis for studying information economy, with the goal of determining the basic characteristics of information economy and compiling its conceptual model. Methodology The research methods include the methods of systemic, logical, structural and functional analysis, synthesis, induction, deduction, method of modeling socioeconomic systems, and method of graphical presentation of information. The authors also use the noosphere research method that allows for the viewing of the information economy as a noosphere and studying the role, interdependencies, and results of interaction between its components – the technosphere, sociosphere, and economic sphere. Results As a result, the authors develop and present a graphical conceptual model of information economy, in which the noosphere is in the form of a pyramid. The pyramid is based on technosphere – spheres of economy in which information and information and communication technologies are produced, which provides technological support for information economy. The pyramid’s center is occupied by sociosphere – information society – which is the social core of information economy, in which the constant exchange of electronic information between economic subjects in information economy and outside of it due to its openness takes place. The pinnacle is occupied by economic sphere – economic tip of information economy – in which information and information and communication technologies are used in economic activities, and informatization (transfer into electronic form) of all spheres of economy takes place. The flows of resources and information move from the foundation of the pyramid to its pinnacle, due to which the target result is maximized – intensity of creation and effectiveness of using new information – which is knowledge and technologies. Recommendations The authors recommend the use of the presented graphical illustration for studying the conceptual model of information economy.