Food crops production efficiency analysis in Indonesia in 1971-2008

Anang Muftiadi

International Journal of Economic Policy in Emerging Economies, 2018, vol. 11, issue 3, 282-291

Abstract: Food crops market in Indonesia is very large. But its slow growth and contribution to economy indicate a negative trend of this subsector efficiency. This study aims to determine, explain and predict the tendency of the efficiency of food crops subsector efficiencies in Indonesia, specifically rice and other food crops. The method used is based time series Leontief input-output table in technology coefficient changes, as approach of cost efficiency in production. The results showed that the efficiency of rice subsector production during 1971-2008 decreased very sharp. The efficiency of other food crops subsector production (beans, corn, vegetables and fruits and other food crops that are not mentioned previously) show an increase in efficiency. It is indicate that other food crops subsector in Indonesia is more attractive than the rice subsector. Both subsectors tend to be more inefficient in the future if no fundamental government policy to support.

Keywords: Leontief input-output; technology coefficient; cost efficiency. (search for similar items in EconPapers)
Date: 2018
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Persistent link: https://EconPapers.repec.org/RePEc:ids:ijepee:v:11:y:2018:i:3:p:282-291

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