A SUPPORTING AID FOR BEEF CATTLE INVESTMENT OF FARM HOUSEHOLD IN CENTRAL JAVA

The research was conducted to analyze some factors influencing production, income, farm household consumption and investment of farm household beef cattle in Central Java. Five districts were purposively chosen for research location based on the number of beef cattle population, namely Rembang, Blora, Grobogan, Boyolali and Wonogiri. Forty respondents of each district were chosen randomly using quota sampling. Data were analyzed through Simultaneous Regression and estimated by Two Stage Least Square (TSLS). The results showed that independent variables were simultaneously significant to dependent variables (production, income, farm household consumption and investment) with the Probability F test 0.0000 and adjusted R2 were 91%; 89%; 96%; 62%, respectively. The simulation’s analysis of agribusiness implementation consisted of 1) decreasing 15% of service per conception, 2) increasing of beef cattle breed and number of beef cattle 15% respectively, 3) raising of price of rice and number of household member 15% respectively and 4) increasing of income and price of beef cattle 10% respectively influenced to farm household consumption and investment 0.446% and 5.14%, respectively, meanwhile production and income did not change. The research can be concluded that the independent variables simultaneously significant influenced to production, income, farm household consumption and beef cattle investment. The simulation of changing usage of input factor and price significantly influenced to farm household consumption and beef cattle investment.