Impact of agricultural sector investment development on national economic output

This study aims to capture the investment performance of agricultural sector in capital formation and incremental output ratio (ICOR) its relative contribution national economy 2011-2020 period. ICOR research method is changes due as an indicator measure performance. The data used secondary obtained from Central Statistics Agency (BPS). results show that food crop has fluctuated throughout 2011-2020. impact policy on was generally positive, but vulnerable year, leakage found led efficiency. cause behaviour rent-seeking which reflected time leading up elections, namely 2014 2018 with rate budget year being very high, 74.09% 84.50%, respectively. 2012 marked by value close 0 (zero) accompanied growth agri-food 12.80%. In 2013 2015 contributed economic 8.65% 15.78%. Unfortunately, potential for loss income Rp. 8.16 trillion 17.45 trillion, best period occurred 2 motives, political motives. Political motives occur through mechanism backing system lobbying. motive caused emergence transaction costs distribution subsidized fertilizers so it leads increase HET fertilizers.