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Journal number 4 ∘ Tinatin Lomsadze
Cluster Development Economic Policy in Nordic Countries

The article presents the economic policy of cluster development in Northern European countries. After the collapse of the Soviet Union, the Baltic countries were able to successfully share the experiences of the mentioned countries. Based on the practical experience of the Baltic countries, the Northern European model can be transferred to the countries belonging to the post-Soviet space countries where the process of building state institutions and reforming the education system is still underway. Georgia is one of these countries.
After the industrialization process began, the uncontrolled exploitation of resources led to irreversible ecological processes in the environment, the most dangerous of which are the emission of GHG and the negative consequences of climate change caused by it.
On September 25, 2015, the United Nations, by adopting the concept of sustainable development, began an active struggle to resolve the issue of climate change and saving resources. In the Paris Agreement of 2016, the United Nations set a concrete plan for combating climate change, which is related to the green transformation of industries.
Green transformation of industries involves their modernization, introduction of innovative technologies and digitization, and this process is referred to as Smart-Specialization in official documents.
Smart-Specialization of industries is taking place as a result of the development of Triple and Quadruple Helix models of innovative clusters, which ensures integration and gathering of branches of economics, state institutions and scientific-research centers in the territory of individual local regions
Modern society faces the most difficult problem associated with the uncontrolled use of resources and the deterioration of the ecological environment, which leads to a deterioration in the well-being of society.
The question of maintaining or improving the common good in practice is usually a very difficult and often unresolved problem. The uncontrolled process of industrialization further complicates and exacerbates the existing situation.
Economic policy measures for cluster development can simultaneously improve the social, economic and environmental well-being of society and ensure the implementation of sustainable development goals by countries. The development of clusters is related to the spread of the convergence effect, which is a side effect of the localization or collection process and reduces costs by reducing geographical distance.
However, what actually makes the economic policy of cluster development without alternative and indispensable are the possibilities for knowledge diffusion and innovation. With the development of the triple and quadruple helix cluster model, the process of knowledge-based economic development is underway, involving government institutions, industries, scientific research centers and, moreover, society.
In the countries where the Triple and Quadruple Helix cluster models are developing, they are characterized by unprecedented competitiveness. In such countries there is free healthcare and education, a high level of social security and wide availability of public services. Such countries are clear examples of the universal welfare state. Today the northern European countries belong to the universal welfare states.
So, in summary, we can say that through the economic policy of cluster development, which includes the integrated development of educational and scientific spaces, industries and state institutions, it is possible to effectively use resources and achieve the highest level of well-being.

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Keywords: Cluster, Sustainable Development, Smart-Mpecialization, Innovation, Industry.
JEL Codes: O01, O31, O32.