The Effect of Multi Aren Products to the Environmental Function, Economic Function and Welfare of the Aren Farmers

Abstract

This article aims to determine the effect of multi-product Aren on economic functions, environmental functions and welfare of Aren farmers in Nagari Andaleh Baruh Bukik, Tanah Datar Regency in West Sumatra, Indonesia. The analysis method uses the SmartPLS technique from 4 latent variables (X, Y1, Y2, Y3) and 24 manifest variables. Latent variable X (multi-product Aren) consists of nine (9) dimensions, latent variable Y1 (economic function) consists of 3 types, latent variable Y2 (environmental function) consists of 5 dimensions, latent variable Y3 (welfare of Aren farmers) consists of 7 dimensions. who were surveyed to the research location with a questionnaire of 94 sample respondents. The results showed; Multi Produk Aren has positive and insignificant effect on economic function. Multi Aren Products have a positive and significant effect on the function of the Palm Environment. Multi Produk Aren has a positive and significant effect on the welfare of Aren farmers. In order for Multi Aren Products to have economic value of all types of products, then Aren farmers must focus on managing all Multi Aren Products, not only taking one type of product. This also improves the quality of work so that agricultural products have Value Added, it needs to be managed collectively - the same for every head of the family.