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1l§uIDWJil!l Oifi§Jd ~ ~iiliJU5@J @b ~ffil:lBJl!mJIIIDl I" l<"~ ' ....... ; •• " .. " .... ~~~~.>i:.> Faculty of Business Management JNIVERSITI Universiti Teknologi MARA EKNOLOGI (Terengganu) ARA TLRENGGANU Ti MB EJ (/V1/) search ... AltJcJe 1: Analysis of the Etract of Agricultural Roadway Infrastructure after the E ti . InCOfTI8 of Community in Tanah Karo District of North Sumalera rup on of Mount Smabung towards the (N1/1mageellimbej/articleI2016/paper1i2.pdf) by lIyda Sudardiat Fivi Rahmat S fi h . 1 , US 0 Iya and Alsyah. AJtJellI 2: Developing Employees' Organizationa' Commitment through Stress Management (N1l1magesilimbeJ/articleI2016/paper2i2.pdf) by Elisabeth Siahaan. AItIcIe3: f'wkembangan Dramatari dan Koslum Makyong Kelantan /N1l1mageellimbej/artideI2016/paper3i2.pdf) by Fatimah Zuhaira Mohamed Yusoff Fauzi Wan Norliza wan Bakar, Rozita Shamsuddin and Raja Norazila Raja Mohd Yusoff. ' AttIcJe 4: SINce Quality and its Connection with Customer Satisfaction : A Study in Bentong Land and Oistlict Office (PTO Bentong) Malaysia (lV1/imagesltimbej/articleI2016/paper4i2.pdf) by Noor Afizah Mohd Paili, Noof Malinjasari Binti All, SI1I Fallmah Mardiah Hamzah, Nik Fazlin Hiryati Nik Jaafar and Hasmida Mohd Noor. Miae5: 1he Intuence of Performance improvement and Job Satisfaction among Employees at RISOA Office, Kuching, . lllrawak (1V1I1magesltimbej/articleI2016/paperSi2.pdf) by Nur Nahdatul Nadia Rely, Alya Farah Nadya Rosh .,...j- Norlina Mohamed Noor. Back to Top Terengganu Internalianal Management and Business Journal Valume 6, Issue 2: 1-12, 2016 Analysis of the Effect of Agricultural RoadWay Infrastructure after the Eruption of Mount Sinabung towards the Income of Community In Tanah Karo District of North Sumatera Ilyda Sudardjat, Fivi Rahmatus Sofiyah, Aisyah Faculty of Economy and Business University of North Sumatera, Indonesia Abstract T8II8h Keto district is an agricultural aras whera most of its population (73.5%) works in agriculture. Many roads in this 8f8a were dirt roads that tumed to muddy toads when the rain fell. Hence, In the rainy sesson, most of the people had difficulty to go to their fields as those roads were the main access. The purpose of this study is to analyze the model o( agricultural InfrastruCtUre development snd the effect of agricultural infrastructure development after the tIIUpIion 01 Mount SinlJbung lotta/Us the itlCOrl76 o( the people in Tanah Kato district. This study took 100 samples In 4 sub-districts in Tanah Kato district with purposive sampling technique. Path Analysis model was used as the Analysis method and muttiple linear regtNlIIon W88 ueed to proc8S8 the data. The results shows that the quality of toad infrastnJctut8 negatively affects the transportation costs of marketing agricultural products, the quality of road infrastnJctura positively affects the marketing system of agricultural pt'OducI8. snd Iha quality of road infTastnJcture positively affects the income of the people in the cIatJ1ct of Tanah KBIO in level of 95%. Keywonfa: Infrastructure; Transportation; Marketing Systems; Income; Path Analysis 1. INTRODUCTION Mount Slnabung (Karonese: Deleng Sinabung) is a volcano situated in the highlands of TIINIh Karo Distrtct In North Sumatra - Indonesia. Mount Sinabung and Mount Sibayak, Iocatiad next to Mount Sinabung, are not only the two active volcanoes in North Sumatra but also the highest mountains In this province. Mount Sinabung Is 2,460 meters high. The eruption of this mountain had never been recorded since 1600. But it suddenly became ac:tiwI again and erupted in 2010. The latter eruption of this mountain occurred in Seplllmber, 2013 and continues until now. From the record of National Disaster Preventive Department/Badan Nasional P.... lIgguiangan Bencena (BNPB), the total loss from this disaster is around Rp. 1.49 a.Gn. ThIs loa Includes damage in agricultural, farming, plantation , fishery, trading, miclwllilrpllle and Industrial. Moreover, another loss is infrastructural, housing and death d28peop1e ":~ of Mount Sinabung gives effect to the fluctuations in commodity prices of vegetable fl Research by Wahyuni (2009) obtained the result that each infrastructure have a r-:=~Influence on the productivity of economies with different elasticity. Instead, " to Glnting (2014), Program of Social Infrastructure Economic Region (RI SE) by ~~=~~I Development In District Naman Teran Karo encourages the creation of l1li of self-reliance in creating initiatives and a real need for improvement of the l*fom18nce of poor families in each village through various instruments discussion group leCtor, group discussion between sectors, village community organizations, group of use Ind maintenance to Increase local Institutions emerging and society at the regional level. R ....rch by Tarigan and Syumanjaya (201 3) obtained results as follows: the effect of the reed infrastructure quality to the cost of transportation is negative; the effect of the road 1 Terengganu International Management and Business Journal Volume 6, Issue 2: /;12, 201 6 infrastructure qua.lity to the . marf<eting system is negative; and the effect of the road infrastructure quahty to the pnce of agriculture products is positive in District Dolok Silau. Agricultural .lnfrastructure is the .infrastructure that fundions as the marketing of agri cultural products (VIllage marf<et); This Infrastructure plays a role in stimulating the growth of the economy as It Will faClhta te the public in buying and selling agricultural products. The development of rural marf<et infrastructure will contribute to the increaSing number of new areas because of the volume of purchasing increases (Hanafie, 2010). Agricultural commodity from the local market is essential for rural agribusiness growth. The local marf<et development is important to make sure the staple from farmers equally priced. The main road is necessary to open up rural economics so that the interaction to the outside trading created. The agricultural sector is dominating economic structure at Kabupaten Karo in 2014. This is proven by the fact that agricultural sector gives the considerable amount in PDRB of District Tanah almost 56.61% or as equal as Rp. 7801.41 billion. In the other hand, the minor coritribution comes from electrical arid gasses sector around 0.06%. Apart from the need to develop the ag ricu ltural infrastructure, the development of transportation infrastructure is also needed to open the access beyond the village border. The development of roadway infrastructure has been undertaken since 2009 and is expected to increase public accessibility that consequently will increase the income of the people and development of the district of Tanah Karo. 1.1 Purpose of RtlSHrch To analyze the effect of road infrastructure development in agriculture after the eruption of mount Sinabung towards the income of the people in Tanah Karo District. 1.2 Literature Review 1.2.1 Infrastructure . Basically, infrastructure has several meaning depends on ~e co~text . Generally,. It IS understood as physical products, such as roadway. Roa~y IS the Infrastru~ure which IS needed for transportation or the land distribution. The function ~f the roadway IS to connect one area with other areas. Hence, it has important role In national economy .. The govemment as the major player in the provision of roadway infrastructure should maintain the continuity in the national development plan hence the road Infrastructure could ~e improved both in quantity and quality. Moreover It needs more Integr~ted approach In infrastructure development to ensure synergy between sectors and regions (Bulohlabna, 2008). "Developmenf' was said to be evidenced by increases in output, em~loyment or i n~st mt. ent. rt· modes and the prOVi Sion of communlca Ions, Infrastructure consists of different transpo Ion I and community facil ities. Social water supply, industrial premises,. energy . suppy . within the community was not infrastructure concerning investment I~ education and tralnln~den Ge ef cest effectiveness in included in the review. The remit alSQ InQuded a hlo°pe thttp~ rpose s would arise (Diamond, the proviSion of infrastructure for regional deve pmen 2009). 2 e-ISSN 2232~741 Terengganu International Management and Business Journal Volume 6, Issue 2: 1· 12, 2016 1.2.2 Income Theory According to Hemanto (1996), the amount of income that will be achieved from an activity depends on some factors, like land expanse, level of productivity, identity of the entrepreneur, planting, and efficiency of the manpower. Price and productivity are the source of uncertain factors, hence if price and productivity change the fanners income will change too (Soekartawi, 2006). 1.2.3 Family Income According to Mosher (1985), this numbers obtained by computing income from other sources that the fanner earns aside from the main activity. The household income classified Into two sectors, which are agriculture sector and non-agriculture sector. The source of income from agriculture ~or c:an be specified again into income from fanners, livestock, fanner wo/1(ers, renting the land, and profit sharing. The source of income from non agriculture sector can be divided into domestic industry, trading, employee, service, non agriculture wo/1(er and other agriculture subsector wo/1(er. The size of income used to measure the level of family welfare is the household income earn from wO/1(ing. Each family member in their wO/1(ing age in household will be motivated to wo/1( for their family well-being. 1.3 Research Methodology