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Happened to me. I hired someone onto my team who did great during the interview. The questions weren't puzzles, but live coding sessions. He got all the way to the point at which he had written a semi-functional web server.

This guy couldn't deliver a single project and would spend days debugging issues before he asked for help and I or someone else on the team would solve it in a couple of hours or less. I have no idea why this happens, but I've seen it twice.

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