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How Locus of Control Predicts Subjective Well-Being and its Inequality: The Moderating Role of Social Values

Author

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  • Roger Fernandez-Urbano

    (European University Institute
    University of Luxembourg)

  • Vicente Royuela

    (University of Barcelona)

Abstract

Previous research has established the central role of an individuals’ locus of control (LoC) in influencing subjective well-being. However, earlier studies have predominantly omitted an exploration of potential moderating factors at the country-level and have rarely delved into the influence of LoC on an important yet often-overlooked dimension of well-being—namely, subjective well-being inequality. Addressing these gaps, this study examines the association between individuals’ LoC and subjective well-being, considering both the mean and inequality aspects. Additionally, it explores the moderating influence of country’s social values, particularly the individualism-collectivism dimension. Utilizing data from the Integrated Values Survey, comprising 170,000 observations across 37 countries from 1996 to 2022, our study confirms a strong positive relationship between LoC and subjective well-being while also unveiling a strong negative relationship with subjective well-being inequality. Moreover, it demonstrates that country’s social values exert significant moderation effects on the relationship between LoC and subjective well-being, affecting both the mean level and inequality aspects, albeit in opposing directions. By employing the Oaxaca-Blinder decomposition, our findings support the importance of structural effects. Understanding how increasing LoC shapes people’s wellbeing in a society holds implications for policymaking and contributes to ongoing discussions on collective choice and inequality.

Suggested Citation

  • Roger Fernandez-Urbano & Vicente Royuela, 2024. "How Locus of Control Predicts Subjective Well-Being and its Inequality: The Moderating Role of Social Values," Journal of Happiness Studies, Springer, vol. 25(8), pages 1-23, December.
    • Handle: RePEc:spr:jhappi:v:25:y:2024:i:8:d:10.1007_s10902-024-00821-z
    DOI: 10.1007/s10902-024-00821-z
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