NILAI TUKAR PETANI : KONSEP, PENGUKURAN DAN RELEVANSINYA SEBAGAI INDIKATOR KESEJAHTERAAN PETANI
Keywords:
farmers’ terms of trade, farmers’ welfare, nilai tukar petani, kesejahteraan petaniAbstract
The purpose of development is improving welfare of the community such that in every stage of development the welfare of society is always prioritized. Indonesia as an agrarian country with a large population and the dominant proportion of rural farm households prioritizes farmers’ welfare as a strategic issue. One of the farmers’ welfare survey tools is Farmers’ Terms of Trade (FTT). FTT is the ratio of prices received by farmers to the price paid by farmers. This concept simply reflects the purchasing power of farmers’ income. However, the concept based on the computation of FTT fixed quantity (Laspeyres index) does not fully describe the indicator of the farmers’ welfare. The increase in product prices received by farmers is equal to an increase in farmers' income. The increase in prices received by farmers indicates the scarcity of agricultural production supply. FTT measurement also does not accommodate productivity growth, technological progress and development improvement. Thus, improvement for computing FTT is necessary by incorporating elements of quantity so that FTT value is income to expenditure ratio. The simplest way is computing the Agricultural Production and the Household Consumption indices for FTT. Another improvement is to refine the scope of agricultural farmers defined in the FTT computation.
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