This essay will argue that within local economic growth, codified knowledge is equally as important as tacit knowledge in promoting innovation. However, it will contest the importance of tacit knowledge in sustaining competitive advantage promoting local economic growth. Needs to be an argument based essay, which contests the ideas of academics and puts forward its own thoughts and conclusions. Very important that it is linked to local economic growth not just looking at tacit and codified knowledge in general. 2 main arguments (made through the concept of innovation) 1. Codified knowledge is as important as tacit knowledge. 2. However, in order to have a competitive advantage need tacit knowledge. I have written an introduction that may help: It is widely acknowledged that within contemporary economics, an ever increasing importance is being placed upon knowledge and its central role within the firm and local economic growth (Feldman, 1994). A complex concept like “knowledge” is difficult to define precisely; however, Bonifacio & amp; Molani (2003) describe it as “the capability of a complex system to give appropriate responses to environmental stimuli”. Howell (2001) goes on to define knowledge as “a dynamic framework or structure from which information can be stored, processed and understood. The dynamic nature of knowledge which is highlighted in Howell’s definition is explained by Blackier (1995) to be the result of knowledge being an active process that is “mediated situated, provisional, pragmatic and contested”. Knowledge within the local economy exists in different forms and the availability of such different and heterogeneous “knowledges” can be referred to as “knowledge richness” (Bonfacio & amp; Molani, 2003). Two types of knowledge: tacit knowledge and codified knowledge can be identified. This essay will argue that within local economic growth, codified knowledge is equally as important as tacit knowledge in promoting innovation. However, it will contest the importance of tacit knowledge in sustaining competitive advantage.