What is Geoeconomics

Science has become a direct productive force. Structural changes in the knowledge production world system as well as in knowledge economy geography are widely shown. Capital is slowly being shifted towards periphery, while its surplus (investment part) is transferred to other countries (where capital conditions are more attractive), thus leading to science funding increase in the countries that are already innovative leaders. Capital is always followed by intellectuals, highly skilled professionals, academic degree holders. A new type of economy development is possible due to human capital quality increase, in particular, thanks to knowledge concentration and science financing increase. In order to ensure knowledge concentration it is necessary to stimulate innovation activity, to regulate knowledge flows and brain migration, to develop the institutions that stimulate innovations and reduce agents' discrimination, to develop research schools, pursue a sustainable state innovative policy, modernize education processes. In the context of innovative economy and growing market competition both state's role and state responsibilities have strengthened.