The Surplus Producer as a Measure of Household Welfare Levels in Rice Crops: A Case Study of Rice Cultivation on Low and Medium Lands
Abstract
The objective of this study is to find an appropriate surplus producer analysis model to measure farmer family welfare levels in paddy rice fields on low and medium lands. The study was implemented in Indonesia with the lead location of low and medium lands of rice fields on Lombok Island. Low-land rice fields are represented in Kediri district, while medium-land rice fields are represented in Narmada district. In each district, 30 rice farming units were chosen; the number of the sampling units was 60 rice farming units. The data were collected using observation, survey, and interviews, where the respondents were farmers of paddy rice fields. Data analyzed using improvement profit function to become surplus producer function. This study showed that the appropriate model of analysis of the surplus of the producer as a measurement of paddy rice field farmer family well-being is ½ ʃ(P - MC)*Q. This model can be applied to rice paddy agriculture such as rice paddy farmer household welfare level on the low land higher than on the middle land.
Keywords: household; rice; farmers; agriculture
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