Open AccessThe Influence of Economic Transformation From The Agricultural Sector To The Industrial Sector To Economic Growth In Indonesia
Author(s) -
Abdulrahman Taresh Abdullah,
Mohammad Wasil
Publication year - 2018
Publication title -
jdep (jurnal dinamika ekonomi pembangunan)
Language(s) - English
Resource type - Journals
ISSN - 2614-2546
DOI - 10.33005/jdep.v1i1.64
Subject(s) - agriculture , economic sector , secondary sector of the economy , primary sector of the economy , economics , tertiary sector of the economy , error correction model , estimation , agricultural economics , business , economy , econometrics , cointegration , geography , management , archaeology
The purpose of this research is the research and development of the industrial sector's economy to the agricultural sector, as well as the influence of agricultural and industrial sectors on economic growth in Indonesia. The data used is time series data, 1960-2015. The method used in this research is Vector Error Correction Model (VECM). From the estimation results, it is concluded that the economic growth rate and the industrial sector negatively affect the agricultural sector, it can be said that the increasing economic growth achieved in Indonesia has increased the industrial sector and lower the agricultural sector. While the results of research that the agricultural sector negatively affect the economic growth while the industrial sector positively affects economic growth, in the sense that the agricultural sector has a bad contribution in economic growth in Indonesia.