The The Potential of Rural Development in Indonesia based on the perspective of Employment in Agriculture and Economic Value Added in the Agricultural Sector

English

Abstract

This study aims to investigate agricultural employment, rural residents, the added value of agriculture in Indonesia. The data analysis method used in this research is the Vector Autoregression quantitative analysis method in the study period 2000 to 2019. The variables used in this study are rural populations, while the independent variables are jobs in agriculture, value-added agriculture. Based on the results of our research, the agricultural sector is a sector that absorbs a very large workforce and even continues to increase. However, an anomaly occurs when employment opportunities in the agricultural sector increase and the added value of the agricultural industry continue to increase and is unable to attract residents to remain in rural areas. This is a gap that needs to be filled in the form of rural development and an increase in the added value of an agriculture-based and rural economy.