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

Author

Listed:
  • Ahsan Jansson, Cecilia

    (Department of Economics, School of Business, Economics and Law, Göteborg University)

  • Patil, Vikram

    (International Rice Research Institute (IRRI), India)

  • Vecci, Joe

    (Department of Economics, School of Business, Economics and Law, Göteborg University)

  • Chellattan Veettil , Prakashan

    (International Rice Research Institute (IRRI), India.)

  • Yashodha, Yashodha

    (International Water Management Institute (IWMI), India)

Abstract

We study psychological impediments that make it difficult to change be- haviour. In particular, we evaluate the impact of a randomised psychological intervention designed to target locus of control–an individual’s belief in their own ability to influence their outcomes – on the adoption of climate resilient technologies. In the control farmers receive a standard agricultural education. Treatment farmers are assigned to one of three treatments where they receive agricultural training and either: a psychological information treatment providing tools to change belief about one’s sense of control, a crop simulation app – al- lowing farmers to simulate their agricultural decisions and a treatment with both combined. Our sample consists of 1674 farmers from 252 villages in Odisha, India. We find that at baseline, the majority do not believe they can influence their agri- cultural outcomes. However, the interventions have little impact on agricultural behaviour, locus of control or aspirations. We then study explanations.

Suggested Citation

  • Ahsan Jansson, Cecilia & Patil, Vikram & Vecci, Joe & Chellattan Veettil , Prakashan & Yashodha, Yashodha, 2023. "Locus of Control and Economic Decision-Making: A Field Experiment in Odisha, India," Working Papers in Economics 833, University of Gothenburg, Department of Economics.
    • Handle: RePEc:hhs:gunwpe:0833
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    More about this item

    Keywords

    Psychological Impediments; Locus of Control; Agriculture;
    All these keywords.

    JEL classification:

    • D01 - Microeconomics - - General - - - Microeconomic Behavior: Underlying Principles
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products

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