Human Capital and Agriculture Performance in Indonesia

Abstract

This study aims to investigate the vector direction of the relationship between agriculture performance, employment in agriculture, and education in Indonesia. This research uses the vector analysis method. where the dependent variable and the independent variable take turns to see the direction of the relationship of each variable to each other. All data used in this study are sourced from the world bank data. We found that labor absorption in the agricultural sector in Indonesia continues to decline very sharply, it becomes a threat to agriculture performance in the future. Because there is a decline in performance in the future due to labor shortages and it is possible that the agricultural sector will be completely destroyed when there is a shortage of labor in this sector if the interest of the Indonesian youth in the agricultural sector is not invested.

Investigating the Role of Education in Stability of Work Participation in Economic Shocks from the Asian Financial Crisis to the Covid 19 Pandemic in Indonesia

“…The autoregressive equation requires the existence of stationary data (Widarni & Drean, 2021). For this reason, a stationary test was carried out.…”

“…Research from Adirosa (2021) states that classical theory is still relevant as a basis for understanding economic phenomena. According to previous research, that is possible to assume if knowledge has an impact on increasing human capital so as to increase human performance which in aggregate has an impact on increasing production so as to encourage economic growth (Ucak, 2015;Harnani & Afriani, 2021;Baerlocher et al, 2021;Widarni & Bawono, 2021). Furthermore, the rise in human capital as a result of the educational system has an effect on the rising of number of quality human resources so that there is an increase in work participation (Ucak, 2015;Alfalih & Hadj, 2021;Alam & Parvin, 2021;Blasques et al, 2021;Adejumo et al, 2021;Naval et al, 2020;Wang et al, 2021;Widarni & Bawono, 2021).…”

“…According to previous research, that is possible to assume if knowledge has an impact on increasing human capital so as to increase human performance which in aggregate has an impact on increasing production so as to encourage economic growth (Ucak, 2015;Harnani & Afriani, 2021;Baerlocher et al, 2021;Widarni & Bawono, 2021). Furthermore, the rise in human capital as a result of the educational system has an effect on the rising of number of quality human resources so that there is an increase in work participation (Ucak, 2015;Alfalih & Hadj, 2021;Alam & Parvin, 2021;Blasques et al, 2021;Adejumo et al, 2021;Naval et al, 2020;Wang et al, 2021;Widarni & Bawono, 2021). Population growth increases demand in the consumer market because an increase in population means more consumers in the consumer market (Hu et al, 2021;Klinger & Weber, 2020) so that demand increases and stimulates demand for labor which provides opportunities for the population to work thereby encouraging work participation (Adirosa, 2021;Spalding et al, 2012;Andersen et al, 2019;Zuo et al, 2019).…”

“…Education has a significant impact upon abilities for the human adaptation to economic shocks that impact on labor market shocks. Education gives humans the ability to adapt and work well to earn a better income (Widarni & Bawono, 2021).…”

The Influence of Government Expenditure, Investment and Education Level on Employment Opportunities and Community Welfare

“…The process is carried out if the existing assumptions can be fulfilled, namely full community participation (full employment), everyone has the same level of ability (equal productivity) and each actor acts rationally (Idris et al, 2021;Singgalen et al, 2019). In its development, there has been a shift in the paradigm of economic development, which was originally a measure of success in the economy through an economic growth approach to a human development approach (Hanushek & Woessmann, 2010;Isenberg, 2011;Widarni & Bawono, 2021).…”