Locus of Control and Investment in Training

Marco Caliendo, Deborah Cobb-Clark, Cosima Obst, Helke Seitz and Arne Uhlendorff

Journal of Human Resources, 2022, vol. 57, issue 4, 1311-1349

Abstract: We extend standard models of work-related training by explicitly incorporating workers’ locus of control into the investment decision through the returns they expect. Our model predicts that higher internal control results in increased take-up of general, but not specific, training. This prediction is empirically validated using data from the German Socioeconomic Panel (SOEP). We provide empirical evidence that locus of control influences participation in training through its effect on workers’ expectations about future wage increases rather than actual wage increases. Our results provide an important explanation for underinvestment in training and suggest that those with an external sense of control may require additional training support.

JEL-codes: C23 D84 J24 (search for similar items in EconPapers)
Date: 2022
Note: DOI: 10.3368/jhr.57.4.0318-9377R2
References: Add references at CitEc
Citations: View citations in EconPapers (17)

Downloads: (external link)
http://jhr.uwpress.org/cgi/reprint/57/4/1311
A subscription is required to access pdf files. Pay per article is available.

Related works:
Working Paper: Locus of Control and Investment in Training (2022)
Working Paper: Locus of Control and Investment in Training (2016)
Working Paper: Locus of Control and Investment in Training (2016)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:uwp:jhriss:v:57:y:2022:i:4:p:1311-1349

Access Statistics for this article

More articles in Journal of Human Resources from University of Wisconsin Press
Bibliographic data for series maintained by (gunnison@wisc.edu).