Rationalization of the Use of Land and Capital Production Factors on Hybrid Cayenne Agriculture Business on Juwita Variety in Central Lombok District

Abstract

This study aims to determine the effect of land and capital production factors on the production of juwita hybrid cayenne varieties, and whether rational or not the use of land and capital production factors in the farming of juwita hybrid cayenne varieties in the Central Lombok regency. The research is carried out in Sintung, Belege and Bilebante Villages in Pringgarata Subdistrict, Central Lombok Regency, which have been selected using the purposive sampling technique, on the grounds that these villages have the highest productivity of juwita hybrid cayenne varieties compared to other villages. Furthermore respondents numbered 30 people who are determined by using proportional random sampling technique. Data are analyzed by using the Cobb-Douglas production function analysis which is changed to Logarithm Multiple Linear Regression. The results show that the area of land and capital jointly have a significant effect on the production of Juwita hybrid cayenne varieties cultivated by farmers in Central Lombok regency with an F-count of 255,690 and Sig. 0.05. This condition emerges because the added capital in the cultivation of Juwita hybrid cayenne varieties farming is not well targeted. Both land and capital are partially rational, and their production elasticities are between 0- 1 and are in production area II (stage II).