Input-Output Analysis for Agricultural Sector in the Economy Structure of Aceh Province, Indonesia

Abstract

Agriculture is one of the most dominant sectors in Indonesian people's income because the majority of Indonesia's population works as farmers. An economy is said to experience growth if the economy level achieved is now higher than achieved in the previous year. The greater growth in each sector means the contribution to economic development in the country or region is getting higher, so that the level of welfare will be better. High construction growth illustrates that to support every economic activity sector is needed. The purpose of this study is to analyze the role of the agricultural sector in the Aceh Province economy structure. This study used Input-Output Tables of 1998, 2006 and 2012. The results of the study shown that the agricultural sector has an important role in the Aceh Province Economy Structure, as evidenced by the increase in output throughout the year. Besides producing high output, the agricultural sector was the largest sector in creating added value.