Analysis of the Efficiency of Using Production Factors at Corn Farming in Kupang Regency, Indonesia

Lukas J.B.B. Hattu, Elly Lay, Johanes Sarong and Erna Giri
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Lukas J.B.B. Hattu: Department of Business Administration University of Nusa Cendana Kupang
Elly Lay: Department of Business Administration University of Nusa Cendana Kupang
Johanes Sarong: Department of Business Administration University of Nusa Cendana Kupang
Erna Giri: Department of Business Administration University of Nusa Cendana Kupang

International Journal of Research and Scientific Innovation, 2021, vol. 8, issue 1

Abstract: This study aims to analyze and determine the efficiency of the use of production factors in corn farming in East Kupang District, Kupang Regency. By knowing whether or not the use of production factors is efficient, it can be recommended to farmers to increase or decrease the use of certain production factors, which in fact are based on the results of the analysis of their use is inefficient.The data analysis method used is by using the Cobb-Douglass production function, where the results of this analysis can be seen from the elasticity of the use of each production factor on the production results. Furthermore, determining the efficient use of a type of production factor is determined based on the amount of its Marginal Production Value (MPV). This research took place in the East Kupang sub-district, because this area is one of the vegetable and maize-producing areas that supply the community’s needs for these commodities in Kupang district and also in Kupang City. The results showed that the production factors had a significant effect on production yields, but their use was still not efficient. Therefore, it needs to be further improved in order to achieve optimal efficiency.

Date: 2021
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