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Download PDFAmsyari, Fuad, "Insertion of Input-Output Model into System Dynamic Approach", 1992
- 1992
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Input-Output Model (I/O model) is an approach developed in economic world for development planning of a Nation. The model founded by a Noble Prize Winner, Prof. Leontief, focused the operation on the determination of production of economic commodities needed for development of a nation. The mathematical aspect of the model requires matrix analysis using equation (A-I)*X=Y as the basic calculation. Surprisingly, I/O model has received wide appreciation for calculating the economic of many nations, including developed countries such as US, Denmark, and Japan, and developing countries such as Indonesia as well. On the other hand, system dynamic approach founded by Prof. Jay Forrester are getting more attention in recent years and people start thinking of using the approach to solve various national development problems. However, since the application of the technique for establishment of world model, no one country yet uses comprehensively the approach to the national development planning. There has been a case study using the technique to exercise the development of Java Island Ecosystem in Indonesia, but it still needs to be more promoted for further application of the theory.As the development process of a nation does not anymore cover only economic concerns, while the environment and social dimension of a country are getting more attention, a national development planning will certainly requires a more comprehensive approach to analyze alternative scenarios to the development of the country. In such a case system dynamic approach seems to meet the requirement of a national development planning.
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