Taken out of context? Cross-level effects of between-person self-efficacy and difficulty on the within-person relationship of self-efficacy with resource allocation and performance

Research examining the within-person relationship among self-efficacy, resource allocation, and performance has been decidedly mixed, with positive, null, and even negative relationships being observed. In the present research, we propose that relationship of within-person changes in self-efficacy with subsequent changes in resource allocation and performance depends upon one’s typical level of self-efficacy; that is, increases and decreases in self-efficacy have different implications for individuals that are generally highly efficacious than for individuals who are typically less efficacious. Moreover, we propose that these relationships further depend upon the difficulty of goal being pursued. Support for these arguments is found across two studies. These results provide support for self-efficacy’s non-monotonic relationship with resource allocation, including our proposition that the nature of this non-monotonic relationship differs as a function of difficulty. These results also help further illuminate when and for whom self-efficacy is likely to increase or decrease resource allocation and performance.