Biais, Bruno; Perotti, Enrico - In: RAND Journal of Economics 39 (2008) 4, pp. 1105-1125
We study how early-stage new ideas are turned into successful businesses. Even promising ideas can be unprofitable if they fail on one dimension, such as technical feasibility, correspondence to market demand, legality, or patentability. To screen good ideas, the entrepreneur needs to hire...