A nonlinear production function can cause gambling or insuring in a risk situation. This result holds independently of the shape of the utility function for income. When a random variable enters an entrepreneur's production function with diminishing returns, profit maximization behavior can be...

This paper introduces a new methodology ensuring units invariant slack selection in radial DEA models and incorporating the slacks into an overall efficiency score. The CCR and BCC models are units invariant in their radial component, but not in their slack component, thus changing the units of...

This paper addresses a complex problem of finding optimal or suboptimal strategies and business decisions of (1) entrepreneurs, inventors, innovators, and other “economic actors” who are engaged, or want and can be engaged, in innovation activities, and (2) policymakers who want to secure...