Psychological Capital: A Review of Evolving Literature

Abstract

The aim of this article is to review significant research that has been conducted in the field of Psychological Capital. Psychological Capital or PsyCap refers to individual’s positive psychological state of development. The article first elaborates on the evolution of PsyCap, explains its uniqueness in relation to other positivity constructs, moves onto its dimensions and then reviews significant literature. Review covers those researches that analyze the effect of PsyCap on performance, leadership, significant work related attitudes and behaviors. The developmental nature of PsyCap is what makes it unique. Hence the research analyzing the effectiveness of PsyCap interventions have also been covered. Based on the review, the gap in existing knowledge has been highlighted in the directions for further research section, followed by practical implications and conclusion.