Journal of Accounting and Economics 2026
The Good Idea Dilemma
Abstract
Once a good idea comes to mind, it is hard to avoid wondering why no one else has already taken advantage of it. Is it because the idea is not as good as it initially appears? This concern gives rise to a dilemma over whether to pursue the idea or abandon it despite its apparent promise, a dilemma we call “the good idea dilemma”. Paradoxically, the more compelling an idea appears, the more puzzling it becomes that others have not exploited it, thereby deepening the dilemma. We study this dilemma in a continuous-time game with multiple players, analyzing idea adoption dynamics and their economic implications. The dilemma yields both under-implementation of good ideas and over-implementation of bad ideas. Its adverse consequences equally affect trivial ideas that arise frequently and creative ideas that rarely do, but intensify for ideas accessible to larger audiences or with riskier outcomes, even under risk neutrality.
- DOI
- 10.1016/j.jacceco.2026.101954
- Pages
- 101954
- Language
- en
- Sources
- crossref openalex