implications for economic growth. We start with a Schumpeterian growth model where entrepreneurs earn pro?ts by inventing better … goods and ?nanciers arise to screen entrepreneurs. A novel feature of the model is that ?nanciers also engage in the costly … entrepreneurs. Every screening process, however, becomes less e¤ective as technology advances. Consequently, technological inno …

implications for economic growth. We start with a Schumpeterian endogenous growth model where entrepreneurs earn monopoly profits … processes for screening entrepreneurs. Every existing screening process, however, becomes less effective as technology advances …

implications for economic growth. We start with a Schumpeterian endogenous growth model where entrepreneurs earn monopoly profits … by inventing better goods and financiers arise to screen entrepreneurs. A novel feature of the model is that financiers … processes for screening entrepreneurs. Every existing screening process, however, becomes less effective as technology advances …

model in which entrepreneurs earn profits by inventing better goods and profit-maximizing financiers arise to screen … entrepreneurs. The model has two novel features. First, financiers engage in the costly but potentially profitable process of … innovation: they can invent better methods for screening entrepreneurs. Second, every screening process becomes less effective as …

differentiates between entrepreneurs and other self-employed to address puzzling gaps that have emerged between theory and evidence … on entry into entrepreneurship. The model predicts—and the data confirm—that entrepreneurs are positively selected on … highly-remunerated human capital, but other self-employed are negatively selected on those same abilities; entrepreneurs are …