ANALYSIS OF THE ROLE OF LEADING MANUFACTURING SECTOR AND ITS IMPACT ON ECONOMIC GROWTH IN EAST JAVA (USING INPUT-OUTPUT TABLE OF 2010)

  • Abdulrahman Taresh A. universitas airlangga
  • Mohammad Wasil Narotama University Surabaya Indonesia
DOI: https://doi.org/10.29138/spirit.v3i1.826
Keywords: Manufacturing Sector, Input-Output Analysis, Linkages, Multiplier, seed sector.

Abstract

this study aims to analyze the role of the manufacturing sector to the economy in East Java province in terms of output, gross value-added and final demand, analyze the relationship backward (backward linkage) and the linkage to the front (forward linkage) manufacturing sector, analyzing the effect multiplier , analyze the manufacturing sector being the leading sectors (key sectors) in the province of East Java.

The results of the study explained that the most dominant sectors of the manufacturing industry by output, gross value added and final demand is the cigarette industry, the sugar sub-industry, sub-industry of rice and other food industry sub. In terms of linkages between sectors, the manufacturing industry has the influence of the most powerful forward and backward rice subsectors, so grain milling industry (except rice), flour and starch, industrial sob fertilizers and pesticides and animal feed industry. Sub sectors of the manufacturing industry or the priority sectors of the leading sectors narrowed to the sub sectors of fertilizers and pesticides.