Locus of Control and Economic Decision-Making: A Field Experiment in Odisha, India

We study psychological impediments that make it difficult to change behavior. In particular, we evaluate the effect of a randomized intervention designed to target locus of control—an individual’s belief in his or her own ability to influence his or her outcomes—on the adoption of two products that...

Full description

Bibliographic Details
Main Authors: Jansson, Cecilia Ahsan, Patil, Vikram, Vecci, Joseph, Chellattan Veettil, Prakashan, Yashodha
Format: Journal Article
Language:Inglés
Published: The University of Chicago Press 2025
Subjects:
Online Access:https://hdl.handle.net/10568/179283
Description
Summary:We study psychological impediments that make it difficult to change behavior. In particular, we evaluate the effect of a randomized intervention designed to target locus of control—an individual’s belief in his or her own ability to influence his or her outcomes—on the adoption of two products that can improve climate resilience. In the control group, farmers receive standard agricultural education. Treatment farmers are assigned to one of three treatments. They receive agricultural training and (1) a psychological information treatment providing tools to change beliefs about one’s sense of control, (2) a crop-simulation app allowing farmers to simulate their agricultural decisions, or (3) both treatments combined. Our sample consists of 1,674 farmers from 252 villages in Odisha, India. At baseline, we find that most individuals do not believe they can influence their agricultural outcomes. However, the interventions show limited effect on agricultural behavior, locus of control, or aspirations. We then explore potential explanations for these findings.