Intergenerational Income and Religiosity: A Longitudinal Study of Agricultural Household in Indonesia

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Introduction
National development goal of Indonesia is to improve the welfare of all people, in which at every stage improving community welfare and equity (Central Bureau of Statistics, 2014).During the period 2010-2018, Indonesia's Gross Domestic Product (GDP) increased with an average growth rate of 3.98% per year, this figure exceeded the average growth rate of the world economy in 2018 is 3.1%.
The role of the agricultural sector in national development historically has given an important and strategic role.The agricultural sector plays role in providing food and also source of livelihood for most of Indonesia's population.In addition, the agricultural sector is also source of export income (foreign exchange) for the country as well as push and pull (backward and forward linkage) for the growth of other economic sectors (Mellor, 1995).The agricultural sector is one sector that can be driver of economic development (Tanjung et al., 2021).This is reinforced again that humans cannot live without agricultural products and the danger that humans fear the most is the danger of hunger, armed with knowledge and technological advances, humans have tried to create synthetic food products but so far have not succeeded, so that human dependence on agriculture is serious dependence Immortal (Widodo, 2018).
Based on the structure of the formation of Gross Domestic Product (GDP), the agricultural sector has fairly large role, this is illustrated by its contribution to total GDP, in 2020 the gross domestic product of the agricultural sector contributed 13.70% of Indonesia's overall GDP is the sector that provides the second highest contribution after the industrial sector which contributes 19.88% .During the 2010-2020 period, the average contribution of the agricultural sector to total GDP was 13.35%.Observing in terms of performance, the value of the GDP of the agricultural sector from year to year continues to grow, in 2020 the value of the GDP of the Indonesian agricultural sector reaches IDR 1,378,131 Billion.Furthermore, based on BPS data, During the 2010-2020 period, there was Published by IDEAS SPREAD trend of continuous increase in the GDP of the agricultural sector, this indicates that the agricultural sector is quite conducive so that it is able to continue to grow.
In terms of employment, the agricultural sector also plays significant role in driving the Indonesian economy, including through its role in providing food sources, industrial raw materials, and providing employment, especially in rural areas (Ministry of Agriculture, 2020).In relation to employment, the agricultural sector has quite strategic role because it appears that the working age population is still the most dominant, whose main occupation is in the agricultural sector, although over time there has been decline.Based on Central Bureau of Statistics (BPS) data, in 2020 the working age population whose main occupation is in the agricultural sector is recorded at 29.5%, in addition, if we look at its development during the period 2008-2020 the working age population whose main job is in the agricultural sector ranges from 30-40%.
The performance in the agricultural sector, which was quite good, turned out to be less than the level of welfare of the majority of people who work in agriculture, it can be seen from the large number of poverties in the agricultural sector.Based on BPS data, the number of poor households mostly comes from the agricultural sector, in 2019 it was recorded that the number of poor households in the agricultural sector was 49.41% (Figure 1).

Year
If you look at its development, from year to year poor households are always dominated by households from the agricultural sector and during this period there is relatively almost no significant change.Based on BPS data, during the period 2012-2019, the number of poor households from the agricultural sector was relatively constant, at around 50% (Figure 2).The high and non-shifting level of poverty in the agricultural sector indicates that the development growth achieved by the agricultural sector cannot be enjoyed equally by the actors in the agricultural sector itself, which means that there is still high inequality, while income inequality and development are believed to be one of the causes of inequality.factors causing the slow pace of economic recovery (Chetty et al., 2014;Lee & Solon, 2009).
The low welfare of households in the agricultural sector is indicated by the continued dominance of poor households from the agricultural sector, and this condition does not appear to have changed significantly from year to year.According to the 2013 SUSENAS data, it was found that 99.98% of businesses in the agricultural sector were household agricultural businesses carried out by farmers.Based on this, it is quite interesting to conduct research on how the economy changes between generations of farmers (between farmers and their children).
Religion has an important role in the development economy.Healthy economy requires everyone respect the divinity and dignity each other.In association with economics, religion encourages free competition, protection of property rights, and encourages people to share and behave well with one another (Davies, 2004).Religion is recognized as having strong role in influencing the lives of individuals (Diener et al., 2011;Vieten et al., 2013).
In addition, the dynamics of economic activity are related to the values contained in religion.Religion has the potential to play central role in supporting those experiencing poverty, through spiritual assistance and guidance, as well as providing resilience mechanisms at both the individual and community levels.Adhering to the nature of the values of his faith, religion is important to encourage efforts to alleviate poverty, namely through strengthening motivation in increasing productivity (Tomalin, 2018).
In addition to the above, values and spirit in religion (religiosity) seem to have relationship with economic activity, productivity and income of the community (including the farming community).Studies on this issue are still relatively limited, thus there is an urgency to examine economic changes between generations of farmers in the context of their relationship with religiosity.The novelty of this research is to analyze how the economic changes between generations of farmers and relate it to the role of religiosity in it.
As previously stated, based on the performance and development of GDP, the development that has been carried out has provided significant progress and added value.Agriculture is sector that plays an important role in this development and most of the business actors in the agricultural sector are farmers.On the other hand, income inequality in the agricultural sector continues to occur, which is suspected from the still dominant poverty originating from the agricultural sector, where this situation occurs continuously over long period of time until it exceeds between generations.In essence, the values of religiosity are believed to be motivational booster to drive productivity, most of the Indonesian population is Muslim, and Islam provides guidance for its people to live balanced life, care for well-being by working hard, earnestly.Based on this, it is quite interesting to examine what characteristics and variables actually play role in the formation of the income of farmers' children, also by including the religiosity factor in it.The purpose of this study is to reveal how closely inter-generational farmers' incomes are related (i.e. between farmers and their children) and what variables play role in the incomes of farmers' children.

Method
Indonesian Family Live Surveys (IFLS) data were used in this study.The IFLS survey was carried out by RAND corporation, RAND is nonpartisan organization that operates independently and free from political and commercial pressures, while RAND is also research organization that develops solutions to public policy challenges to help make societies around the world safer and safer, healthier and more prosperous.
The main data used in this study is data from farmer households and farmers' children.Data from Islamic farming households (generation-1) are used as basic data, obtained from data from IFLS-1 respondents (1993) who have their main job as farmers and are Muslim.Generation-2 data (farmers' children) are taken from IFLS-5 data (2014), with the consideration that the 21-year difference between IFLS-1 and IFLS-5 is sufficient time to see changes between generations.Furthermore, generation-2 data (farmer's children) were obtained by tracing and searching the IFLS-4 data ( 2014), with the criteria that the parents in IFLS-1 (1993) were Islamic farmers (the first-generation respondents).
In this study, data analysis was performed using multiple linear regression using the following basic model (Gujarati, 2012) where Y represent income,  is constant,  is the regression coefficient of the variable, and  is an error.Furthermore, the model built in this study is the income of farmers' children as the dependent variable, and as the independent variable which includes: education, age, parents' income, agricultural land ownership, agricultural work, and religiosity (Table 1), with the following notation and description: Praying ceremony (farmer's son) Frequency / how many times to pray in a day X 10

Recitation (farmer's son)
Frequency / how many times to attend the recitation in a period of 1 week X 11

Result and Discussion
The number of farmer households that were sampled was 819 (Table 2), which was obtained from search on IFLS-1.The average age of farmers at the time the survey was carried out was 46 years, this age is in the productive age category.Based on data, their average education has not yet fully completed elementary level education (SD) with an average of 5.5 years of education.When compared with the government's population program which prioritizes 2 children enough, the size of the farmer's household is considered exceeding, with an average household size of 5.4.Based on the ownership of agricultural land, only small percentage of farmer households own agricultural land, which is only 29%.Farmer children's households, which were obtained from searches in IFLS-5, were found to be 1162 (Table 3).On average, these households had household head in the productive age of 34 years, although they were the same in the productive age, the average age of the farmer children was younger.The education of the children of farmers has increased significantly when compared to the education of their parents, the average education that has been taken by the children of farmers is 8.8 years.Based on these figures indicate that on average of them have completed elementary school education but have not fully completed junior high school level.The number of household members (household size) of children of farmers is significantly smaller than the size of the household of their parents.In general, large household size will contain large household burden and vice versa, so that this indicates that the household burden of farmers' children is smaller than their parents.In terms of the main livelihood, most of the children of farmers have main job outside of agriculture, there are only small number of children who have main job as farmer, which is around 37.3%.
The average household income of farmers is IDR 34,379.Of the respondent farmer households, by referring to the poverty line set by the government at that time (1993) which was IDR 32,000/cap/month, there were small proportion of farmer households included in the poor category (37%) and the rest, namely 63% fall into the category of not poor.Judging from the characteristics, the age of the head of the household between poor and nonpoor households is not significantly different (Table 3).Based on the level of education and household size, between poor and non-poor farmer households there is significant difference, namely the education level of the head of household from poor farmer households is lower, while the household size of poor farmer households is larger.Furthermore, in terms of income, based on the calculation of the amount of the poverty line figure that has been set by the government in that year (2014) which is IDR 327,587, then there are 5% still in the category of poor households, in general the situation is much better than the conditions in the generation of their parents where 37% are in the category of poor households.If we look at the differences in the prominent characteristics that are reflected between the households of farmer children who are in the poor and non-poor categories, these are: in terms of education, the average poor farmer only completes elementary school level education (SD) while the average non-poor farmer has completed education at the level of junior secondary education (SMP); in terms of household size, poor households have more household members, generally larger household size indicates larger Published by IDEAS SPREAD household burden as well; in the household group, most of the children in the poor category have their main job in agriculture, while in the non-poor group most of them have main job outside of agriculture.

Figure 3. Flow of Generation of Farmer's Children
The total sample farmer households are 819, most of the farmer households are included in the non-poor category, namely 63%, and the remaining 37% are farmer households in the poor category.If we explore further by income category, the flow of generation from farmer to farmer's children (Figure 3) showed that both poor and non-poor farming households produce new generation that is categorized as poor and not poor as well.Based on the calculation results, poor farmer households will form household generation of children of farmers, 9% of which are categorized as poor and 91% are not poor, while in the flow of non-poor farmer households will form household generation of farmer children with 3% including households poor and 97% not poor.

Factors Influencing Farmer's Children's Income
The relationship between parents' income and children's income is an important issue in development planning (Solon, 2004), it is also very necessary in order to formulate programs and policies so that programs and policies that are prepared and implemented have stronger and more comprehensive basis (Purbowati, 2018).In this study, it was found that in all the models built, parental income is one of the variables that has significant positive (robust) effect on the income of farmers' children (Table 4).This shows that there is significant and robust relationship (robust) between the income of the farmer's children and the income of their parents (Figure 4).The relationship shown is positive, which indicates that partially farmers with high incomes (rich) will have the potential to produce children with high incomes, and conversely farmers with low incomes (poor) will tend to produce children with low incomes as well.Similar research also revealed that parental income has positive effect on children's income (Bevis & Barrett, 2015;Dang, 2020).Parent's income is also strong predictor of children's success in the labor market (Gregg et al., 2019), this happens because in general rich parents invest more in their children, so that in the future their children's income will be higher (Bevis & Barrett, 2015).This situation also strengthens the indication of fairly strong transfer of wealth between parents and their children.The education of children of farmers shows very important role in the income of children of farmers.Based on the results of the calculation of the education variable of the farmer's child which is calculated based on the formal education taken, it has positive influence with very high and strong significance on the income he earns, it can be seen from the significant influence of the education variable on all models used.This illustrates that the higher the level of education obtained during childhood, the more potential to obtain high incomes, and vice versa, low education will lead to low incomes in adulthood.Several studies also reveal the same thing as follows: in the case of fisherman households, poor households due to their low level of education (Tain, 2013).Education is the main factor influencing chronic poverty (Jalan & Ravallion, 1998).Improvements in the level of education will be followed by an increase in income (Wong, 2019).Education is one of the factors that play an important role in increasing income in rural area (Liao, 2019), upgrading skill in workplace (Simard-Duplain & St-Denis, 2020), and economic mobility (Belfield et al., 2017;Chuard & Grassi, 2020;Corak & Heisz, 1999;Gong et al., 2012;Khalid, 2018;Pohan 2013), so that parental investment in children's education and work itself has an important role in triggering an increase in intergenerational income (Jin et al., 2019).Thus, the role of education in efforts to increase income and alleviate poverty in the scope of the children of farmers is important, increasing education in childhood is believed to lead to an increase in income in later adulthood.
Age is also variable that has significant negative effect on the income of farmers' children, which means that the older the age, the lower the potential income, the meaning that can be obtained is that the productivity of labor related to the older income will decrease from and up to certain limits.This situation is in accordance with the normal cycle of labor, basically the potential for labor productivity will increase along with the age of work experience to the limit of productive age, then after exceeding the productive age, the productivity of the workforce will continue to decrease.In this study, the average age of the farmer's children at the time of the survey was 34.4 years, that age was in the productive age group.
Household burden is the number of household members who are dependents or burdens in the household because the household members in question do not have income.This fact reveals that the increase in productivity and household income will not be triggered by increasing household burdens, on the contrary what happens is that the greater the household burden, the greater the economic burden that must be borne by the household income, which will mean getting poorer.Based on the calculations that have been carried out, the average household burden that occurs is 1.8, which means that in each household, there is an economic burden of 1.8 people.In this regard, the efforts that have been made by the government are family planning (KB) programs.
Results found that working in the agricultural sector is significant factor that negatively affects the income he earns, this indicates that working outside the agricultural sector will be more likely to increase income, only a small proportion of households own agricultural land (18%) while the rest, namely most households (82%) do not own agricultural land.Similar studies reveal that leaving the agricultural sector is not solution to improve the welfare of farmers (Moeis et al., 2020), Reflecting on this, switching from the agricultural sector is not the right effort to increase income, of course, for households who have agricultural land, besides that from more comprehensive perspective, the agricultural sector is the only sector that produces basic food staples.for the survival of human life, whose availability will also greatly affect other sectors and conditions.
In the agricultural sector, especially farming, one of the main production factors is agricultural land in addition to labor, technology and capital, so that the area of agricultural land will affect the amount of production and income that farmers will generate.
Owning agricultural land is one of the parameters that has significant positive effect on the level of household income of children of farmers.Partially, households that have agricultural land will have better income than households that do not have agricultural land.This indicates that agricultural land is one of the resource assets that has economic potential, with proper management and exploitation it will be able to generate better income.
The existence of good and adequate transportation infrastructure, one of which is intended to facilitate and expedite the flow of people, goods and services from or to the region, so that in the next stage it is believed to have the opportunity to provide the potential for increasing economic activity in the region which leads to an increase in the income of the people around the region.the.Most of the road infrastructure in the village area is paved or paved (59%), and the rest is dirt roads (41%).In this study, the existence of infrastructure in the form of asphalt or paved village roads does not appear to have significant effect on increasing income.Based on these results, The Joint Business Group (KUBE) is one of the programs formed and implemented by the Indonesian government under the management of the Ministry of Social Affairs in an effort to alleviate poverty through community economic empowerment.In fact, in this study, the results showed that the existence of KUBE in the region had not been able to significantly have positive impact on household income.Several related things that are suspected to hinder the successful performance of KUBE in general are because the management of program implementation starting from planning, organizing, directing and controlling is still weak (Sitepu, 2016).This situation has resulted in the existence of KUBE in the field not lasting long and the business being built not developing, which is more specifically caused by: (a) the establishment of KUBE is impromptu; (b) minimal socialization prior to the implementation of activities; (c) tends to be top down; (d) miss targeting; (e) the type of business is not compatible with local resources; (f) the type of business is not in accordance with the habits (culture) of the community; (g) business management (trade) is not appropriate; (h) the division of labor is not deemed unfair; (i) seeds (livestock) are too small; (j) less reliable companion; (k) supervision is not optimal, where these factors are interrelated with each other (Sitepu, 2016).
In line with the rapid development of technology, the growth of non-agricultural sectors such as industry, trade, services, etc. is growing rapidly, which of course requires supply of labor.Opportunities and opportunities to work in these sectors are also growing quite rapidly along with its development.So theoretically, the existence of factory/processing industry in the village area is expected to be able to move the wheels of the economy in the region through the absorption of resources, labor and lead to the growth of activities/activities supporting the industry.Most of the respondents live in rural areas where there are no factories/processing industries, there are about 35% of the respondents in their village areas where there are factories/processing industries.Based on the results of the analysis, the existence of factory/processing industry does not significantly increase the household income of the respondents.Lack of access, ability, or capacity of human resources around the factory/processing industry area to fill labor needs or capture opportunities for economic activity may be one of the causes.Published by IDEAS SPREAD

Religiosity
The dynamics of economic activity are related to the values contained in religion.Religion has the potential to play central role in supporting those in poverty, through spiritual assistance and guidance, as well as providing resilience mechanisms at both the individual and community levels.Adhering to the nature of the values of his faith, religion is important to encourage efforts to alleviate poverty, namely through strengthening motivation in increasing productivity (Tomalin, 2018).
Basically, religion has an important role in the development and maintenance of vital and just economy, this is because healthy economy requires everyone to view each other with dignity, not as objects of exploitation, this is because religion urges people/followers to respect divinity in their life.every human being regardless of class or cultural background, its relationship in the economic field of religion encourages free competition, protection of property rights, and encourages people to share and behave well towards one another (Davies A., 2004;Vieten et al., 2013).
Religiosity is person's parameter in believing and practicing the religion he adheres to, religiosity is defined as person's belief in God and commitment to act in accordance with the principles of his religion (Bakar et al., 2013;Ilter et al., 2017).Furthermore, religiosity will also describe the extent to which followers of one religion accept and carry out the teachings and commands mandated by the religion they profess (Ilter et al., 2017;Mayer & Lopoo, 2004;Yousaf & Malik, 2013;Delener, 1990).According to Glock (1962), religiosity includes an ideological dimension (religious beliefs), ritualistic dimension (religious practice), an experiential dimension (feelings of religiosity), an intellectual dimension (religious knowledge), and consequence dimension (religious effects).
Most of Indonesia's population is Muslim, which in 2020 covers 87.2% (Global Religious Futures, 2020).Regarding the main points of Islamic teachings, Islam has taught and provided guidance to its people so that humans try to live balanced life, paying attention to the welfare of life in the world and the safety of life in the hereafter.Working hard to achieve an adequate life is an act that is highly recommended in Islam.Islam does not want to see its people lazy and do not want to try.Achievement on prosperous life in the world, Islam has taught how economic resources can be utilized optimally and correctly within the framework of Islam.Working hard is guide of Muslim as mentioned in Surah At-Taubah (9:105): "Work you, surely Allah and His Messenger and the believers will see your work, and you will be returned to Allah, then he will give you what you used to do." Muslim must work seriously and should not sit idly by in his life as has been guided by the Holy Qur'an in Surah Asy Syarh (94:7) which means: "So when you are in you are busy), then work earnestly until you are tired, or establish (new problems) so that they become real.Next, as a Muslim, in order to achieve better situation, you must try to change yourself seriously, because Allah does not change the condition of people so that they change the situation that is in themselves, as has been guided by the Qur'an, one of which is in Surah Ar-Ra'.d: 11, which means: "For humans there are angels who always follow him in turn, in front and behind him, they guard him by Allah's command.Verily Allah does not change the condition of people until they change the situation that is in themselves.And If Allah wills evil for people, then no one can resist it and there is absolutely no protector for them but Him." Prayer and recitation are practice parameters (ritualistic dimensions) of religiosity that are included in the model.In fact, the results of the analysis show that prayer does not have significant effect on increasing income, this is possible because prayer is one of the dimensions of the relationship between man and his god so that it does not significantly affect activities related to economic activities.What is quite interesting here is the recitation, which based on the results of the processing shows significant negative effect on household income.This is in line with the findings which reveal that religiosity is negatively related to GDP (Solt et al., 2011;Storm, 2017).There is strong negative relationship between religiosity and productivity (Herzer & Strulik, 2017), but there are also studies that reveal that religiosity will reduce the negative impact of inequality (Joshanloo & Weijers, 2016), also has positive effect on welfare (Awaworyi Churchill et al., 2019).Religion is recognized as having strong role in influencing the lives of individuals (Diener et al., 2011;Vieten et al., 2013).Apart from that, it is absolutely believed that the comprehensive teachings of Islam will essentially encourage the development and development of self and society as whole.in the sense that religiosity (religious) activities will not have negative effect on efforts to achieve economic (income) but on the contrary these activities become driving force and encouragement for activities because Islam has taught mankind not to be lazy, work hard and earnestly in activities within the framework of worshiping Allah SWT.The presence of the finding that recitation activities have negative effect on income, brings awareness that these activities should be carried out using enriched courses that comprehensively raise and encourage productivity balanced manner in accordance with the guidelines and rules in Islam.

Conclusion
In general, farmer children's households have better economic potential than their parents because they have younger and productive age, higher education levels and smaller household burdens.There are poor farmer households that tend to produce higher percentage of the poor generation, because in poor households 9% of their children are poor, while in non-poor farmers only 3% of their children are poor.
The income of parents (farmers) is one of the determining factors and plays an important role in the formation of children's income, because it is statistically strong (robust) and significantly positive.The education of farmers' children is one of the factors that is statistically robust and significantly positive, these results convince us that the higher the level of education, the higher the level of income obtained.
In terms of children of farmers, other variables that have significant effect on the income of children of farmers are: age, household burden, working in agriculture, owning agricultural land, and religiosity-religion.In more detail, the effects of these variables are: age has negative effect, household burden has negative effect, working in agriculture has negative effect, owning agricultural land has positive effect, and religiosity-religion has negative effect.

Table 2 .
Characteristics of Farmers and Farmers' Children

Table 3 .
Characteristics of Farmers and Children of Poor and Non-Poor Farmers