PSYCHOLOGY AND EDUCATION (2021) 58(1): 366-374 ISSN:00333077 Mamuju City Development and Its Hinterland Muhammad Agung Ady Mangilep1, Hamrullah2,Sanusi Fattah3 {[email protected], [email protected], [email protected]} Faculty of Economics and Business, Hasanuddin University, Makassar, Indonesia.1-3 ABSTRACT This study is aimedto explore the potential relation between Mamuju City and its hinterlands to improve their economies. Quantitative data is obtained from some publications from Indonesian government. This research uses LQ method to analyze economic basic sectors. Analysis of economic relation between hinterlands and the city is explained by a descriptive statistic. This research finds that several sectors can be expanded to improve Mamuju City’s regional economy. Keywords: basic sector, hinterland, regional development Article Received: 18 October 2020, Revised: 3 November 2020, Accepted: 24 December 2020 1 Introduction of an area development. By improving an inter- Mamuju Regency is the capital of West sector relation, an area can promote its role as a Sulawesi Province which located at the eastern center of trading activities where others region of Indonesia. West Sulawesi is one of the surrounded relate their economic activities. newest provinces in Indonesia which was emerged Berliant (2005) defines a central place is the top of in the period of Indonesian regional autonomy hierarchical coordination of a marketplace interm system after a reform on Indonesian bureaucratic of spatial analysis. Currently, a development of system in the middle of 1998. The emerging of hinterland regions hasbecome an important West Sulawesi Province would be a solution to perspective in a development of a central area. reduce development gap in the northwest area of Welman, et al (2016) points out that poverty South Sulawesi Province, the parent region. West reduction and employment creation programs in Sulawesi Province has supported various hinterlands can be promoted by a port economic growth programs, but its per capita development in a central area. OECD (2008) income is still below the average of Indonesian states that ports have a role as supply chains to per capita income. A strategic role of Mamuju hinterlands. Visser, et al (2007) points out a Regency, to promote a faster growth of its developmentof hinterlands surrounded a port city. hinterland regencies,can be a relevant solution to increase the provincial income. 2Research Methodology This study is aimed to examinea role Location Quotient or LQ is a method to ofMamuju Regencyto promote growths of its measure a contribution of aSector 13 in a local hinterlands. That role can be shown by identifying area to a whole region. Hanif, et al (2015) states several sectors in hinterlands of Mamuju Regency that LQ can be used to expose disparities in a which contributions are lower than those at the region. Ascani, et al (2012) states that LQ can be provincial level. Increasing contributionsmay used to expose spatial inequalities. Srotebeck increase growths of Mamuju Regency’s (2010) points out that LQ can be used toidentify hinterlands. area clusters. The most important perspective for the growth of LQ is used in my research to measure a value an area in a trade system is a regional perspective which shows a contribution of a local Gross 366 www.psychologyandeducation.net PSYCHOLOGY AND EDUCATION (2021) 58(1): 366-374 ISSN:00333077 Domestic Regional Product (or GDRP) to its fluctuated trend of growthsduring 2010 to 2017 region. (BPS Mamuju 2019). In that period, Mamuju LQ = (x_i/x_j )⁄(X_i/X_j ) Regency’s economy grew 13.45on average. where, x_i = a GDRP of a sector in a local area Mamuju Regency’s sectoral GDRP on 2017 is x_j = a total GDRP of a sector in a local shown at Table 1. area X_j = a GDRP of a sector in a regional area Table 1. Sectoral GDRP distribution of Mamuju X_j = a total GDRP of a sector in a Regency at current prices on 2017 (BPS Mamuju regional area 2019) A basic sectoris defined as anLQ’s value which Sectors GDRP equal or higher than 1, otherwise is defined as a (in billion non-basic sector. The basic sector can be defined Rupiah) as a more rapid growth sector than the non-basic 1 3692.07 one. 2 338.74 Based on economic sectors categorized by 3 333.44 Indonesian Bureau of Statistics, we define sectors 4 5.01 as follows. 5 33.65 Sector 1 is the agriculture, 6 1024.43 Sector 2 is the mining, 7 1028.59 Sector 3 is manufactured industry, 8 191.46 Sector 4 is power and electricity, 9 24.87 Sector 5 is water and sewages, 10 674.75 Sector 6 is constructions, 11 279.22 Sector 7 istrade and retails, 12 213.94 Sector 8 is transportation and 13 8.28 warehousing, 14 1202.57 15 511.59 Sector 9 is hotel and restaurants, 16 211.03 Sector 10 is information and 17 278.08 communication, Total 10051.75 Sector 11 is finance and insurance, Sector 12 is real estates, A GDRP distribution can be also presented by Sector 13 is business services, main groups of economic sectors. The primary Sector 14 is government, defense and sector has contributed 39.57percent on average, social security, from the total GDRP. The secondary sector has Sector 15 is the education, contributed 16.38 per cent. Tertiary sector has Sector 16 is health and social activities, contributed 44.05 per cent. The most important Sector 17 is ungrouped services. sector in Mamuju is the tertiary one. GDRP distributions by main groups of economic 3Result and Discussion sectorsduring 2010 to 2017are presented in Table The total GDRP of Mamuju Regency has 2. reached Rp 10,051.75 billion along with a Table 2. GDRP allocations of Mamuju Regency at current prices (processed data from Table 1) Main 2010 2011 2012 2013 2014 2015 2016 2017 Sectors 367 www.psychologyandeducation.net PSYCHOLOGY AND EDUCATION (2021) 58(1): 366-374 ISSN:00333077 Primary 39.95 40.03 39.04 39.08 39.07 39.78 39.52 40.10 Secondary 18.20 16.90 16.18 15.73 16.04 15.99 15.99 16.02 Tertiary 41.85 43.06 44.78 45.19 44.89 44.23 44.49 43.88 Total 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 Table 3 shows the results of LQ calculations sector.The LQ value of Sector 8 is 1.32and it is on GDRP of Mamuju Regency in the period 2010- defined as a basic sector.The LQ value of Sector 9 2017. From the table, we can calculate averageLQ is1.12 and it is defined as a basic sector. The LQ values for each economic sector described as value of Sector 10 is 1.69 and it is defined as a follows.The LQ value of Sector 1 is 0.87 and it is basic sector. The LQ value of Sector 11 is 1.31 defined as a non-basic sector.The LQ value of and it is defined as a basic sector.The LQ value of Sector 2 is 1.50 and it is defined as a basic sector. Sector 12 is 0.80 and it is defined as a non-basic The LQ value of Sector 3is 0.35 and it is defined sector.The LQ value of Sector 13 is 1.21 and it is as a non-basic sector.The LQ value of Sector 4 is defined as a basic sector.The LQ value of Sector 1.27and it is defined as a basic sector.The LQ 14 is 1.47and it is defined as a basic sector.The value of Sector 5 is 2.25and it is defined as a basic LQ value of Sector 15 is 1.03 and it is defined as a sector. The LQ value of construction sector 6 is basic sector. The LQ value of Sector 16 is 1.06 it 1.26and it is defined as a basic sector. The LQ is defined as a basic sector. The LQ value of value of Sector 7 is 1.01and it is defined as a basic Sector 17 is 1.53 it is defined as a basic sector. Table 3. Sectoral LQs of Mamuju Regency (processed data from Table 1) Sectors 2010 2011 2012 2013 2014 2015 2016 2017 1 0.84 0.86 0.86 0.85 0.86 0.87 0.87 0.88 2 1.64 1.58 1.54 1.50 1.52 1.51 1.47 1.49 3 0.43 0.42 0.42 0.41 0.34 0.32 0.33 0.33 4 1.27 1.30 1.26 1.25 1.28 1.26 1.29 1.28 5 2.04 2.06 2.13 2.21 2.25 2.22 2.31 2.27 6 1.48 1.34 1.28 1.22 1.28 1.28 1.25 1.25 7 0.98 1.00 1.01 1.02 1.03 1.02 0.99 0.99 8 1.35 1.34 1.33 1.29 1.31 1.29 1.34 1.36 9 1.07 1.12 1.12 1.14 1.14 1.13 1.10 1.08 10 1.63 1.64 1.65 1.65 1.72 1.71 1.70 1.69 11 1.37 1.37 1.36 1.36 1.37 1.35 1.23 1.25 12 0.82 0.80 0.79 0.78 0.81 0.82 0.80 0.80 13 1.32 1.26 1.26 1.22 1.24 1.23 1.19 1.19 14 1.32 1.37 1.37 1.42 1.49 1.49 1.48 1.49 15 1.10 1.07 1.01 1.03 1.06 1.05 1.02 1.01 16 1.12 1.08 1.00 1.04 1.06 1.06 1.07 1.07 17 1.28 1.30 1.47 1.49 1.56 1.56 1.52 1.53 Table 4 shows the results of LQ calculations Sector 2 is 1.23 and it is defined as a basic sector.