Institutional entrepreneurship in the knowledge based economy

The research on entrepreneurship and property institutions in the context of modern transformations of socio-economic systems in the paradigm of modern economic theory are relevant areas of scientific development. It is about changing the basis, and restructuring and creating new forms of development. Institutional entrepreneurship becomes a tool for the formation of a knowledge based society, whose economy depends on the knowledge of its citizens, being the success of such a society depending on innovation and creativity of its citizens. The purpose of the present article is to determine the features and conditions of the development of institutional entrepreneurship in the context of the existing theoretical concepts of the modern development of economy and society, which contribute to the development of the new theory of knowledge based economy and reveal its various aspects. This is about the emergence of an "institutional entrepreneur" with a special type of mentality and economic behavior, corresponding to the new type of social relations, which require modern theoretical research of an interdisciplinary nature using the whole arsenal of methods of institutional political economy. The concept has been developed of management of the property system as a joint-separated resource system, which serves as the institutional basis and determines the functioning of modern economic systems at all levels. That system creates objective conditions for joint-separated activities. The institutional mechanisms of this system ensure the freedom for business entities to realize their own interests, as well as various necessary restrictions serving for common benefit. The development of innovative production, the establishment of social ties, and the comprehensive development of man and his self-reproduction all become real. Such a concept has a consolidating potential. Institutional entrepreneurship is associated with the innovative development of rules and other elements of institutional mechanisms functioning based on intellectualization and humanization of the entire spectrum of social relations, including economic relations. In so doing they perform the role of an instrumental mechanism in the system of drivers in a knowledge based economy. In the process of institutional entrepreneurship, the interdependent processes of social consolidation and strengthening of the state are launched; a new system of social order is created, which regulates the behavior of the main social entities in the context of strategic goals of the state; and the cooperation is established between science, state, national community and world community.