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Locus of control and the labor market

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  • Deborah Cobb-Clark

Abstract

This paper reviews the role of locus of control in the labor market. I begin with a discussion of the conceptual origins of locus of control, including its relationship to related concepts such as self-efficacy, motivation, and self-control. The relationship between locus of control and labor market success is then summarized. In doing so, I pay careful attention to what we know about three potential mechanisms – human capital investments, hiring decisions, and optimal incentive contracts – through which locus of control might operate. Finally, the broader implications of these relationships for public policy and future research are discussed. Copyright Cobb-Clark; licensee Springer. 2015

Suggested Citation

  • Deborah Cobb-Clark, 2015. "Locus of control and the labor market," IZA Journal of Labor Economics, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 4(1), pages 1-19, December.
    • Handle: RePEc:spr:izalbr:v:4:y:2015:i:1:p:1-19:10.1186/s40172-014-0017-x
    DOI: 10.1186/s40172-014-0017-x
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    More about this item

    Keywords

    J18; J20; J24; Locus of control; Labor markets; Human capital;
    All these keywords.

    JEL classification:

    • J01 - Labor and Demographic Economics - - General - - - Labor Economics: General
    • J08 - Labor and Demographic Economics - - General - - - Labor Economics Policies

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