THE IMPACT OF CREDIT AND CAPITAL SUPPORTS ON ECONOMIC BEHAVIOR OF FARM HOUSEHOLDS: A HOUSEHOLD ECONOMIC APPROACH

Bernardus Bala de Rosari, Bonar Marulitua Sinaga, Nunung Kusnadi and Mohamad Husein Sawit

International Journal of Food and Agricultural Economics (IJFAEC), 2014, vol. 02, issue 3, 10

Abstract: This research aimed at analysing the demand and allocation of credit and capital supports by farm household and impact on production, consumption, and investment. The research was conducted in East Nusa Tenggara Timur (ENT) Province, one of targeted region of credit and capital supports policy of the government. Data collection was conducted from April to June 2013 by sampling for 178 households of farmers in Kupang District and Timor Tengah Selatan (TTS) District. The result of this research showed that the allocation of credit and capital supports caused increaseof cattle production, consumption expenditure, and investment. The usage of credit and capital supports was depend on economical situation of the household itself. The decision of farm household on using credit and capital supports had impact on overall economical behavior of household, i.e. production, consumption and investment behavior. The transmission use was reciprocally interacted. Finally, the policy of credit and capital supports scheme for farmers should be adjusted with the context of farm household economics.

Keywords: Consumer/Household Economics; Financial Economics; Political Economy (search for similar items in EconPapers)
Date: 2014
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Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:ags:ijfaec:186269

DOI: 10.22004/ag.econ.186269

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