A polarized light source configured for use in display device and backlight unit is described. The polarized light source comprising: at least one optically active structure comprising a plurality of nanorods configured to emit light of one or more wavelengths in response to exciting pumping field, said plurality of nanorods comprising nanorods aligned with a predetermined alignment axis so as to produce a desired polarization direction of the emitted light; and a light directing assembly comprising one or more optical elements in optical path of light emitted from the light emitting structure, said light directing assembly being configured to enhance output of the emitted light from the emitting structure while substantially maintaining the polarization of the emitted light passing therethrough. Preferably, layers associated with the polarized light source are aligned with parallel principal axes.