To explain the relationship between moral values and economic performance in the age of knowledge-based economy

In the last two decades, the world has witnessed the emergence of the new model of production in knowledge-based economy. In the knowledge economy, knowledge as the most important factor of production, from the perspective of the role in the creation of value added, is ahead of other factors of production. Therefore, factors affecting the production of knowledge become much more important. One aspect of the realization of the knowledge-based economy lies in its relationship with moral values. This article studies the role of moral values in economic performance and in particular the realization of the knowledge-based economy. The case study of the article is Iran's economy. The method of the research is descriptive and analytic. Its theoretical foundations are derived from the findings of institutional economics. In order to explain how the realization of the knowledge-based economy is influenced by moral values, social capital is used which itself is a Meta institution and its role is an emphasis on the causal institutional relationships and the role of institutions in economic performance. The findings of this study show that: (1) the economic performance of individuals and societies is a function of ethical values and institutions of the society. (2) The implementation of the model of knowledge economy, like any other economic purpose, requires the fulfillment of its certain institutional and moral values requirements.