Economic impacts of mangrove ecosystem rehabilitation through an input-output analysis approach

Authors

  • Shella Selvia Putri Universitas Sultan Ageng Tirtayasa
  • Saharuddin Didu Universitas Sultan Ageng Tirtayasa
  • Umayatu Suiroh Suharto Universitas Sultan Ageng Tirtayasa
  • Rah Adi Fahmi Ginanjar Universitas Sultan Ageng Tirtayasa
  • Togi Haidat Mangara Universitas Sultan Ageng Tirtayasa

DOI:

https://doi.org/10.52300/jepp.v6i1.22548

Keywords:

mangrove rehabilitation, input–output analysis, sectoral output, employee compensation, gross operating surplus

Abstract

Mangrove rehabilitation can support coastal restoration while generating economic activity through public expenditure and interindustry linkages. This study estimates the economic effects of mangrove rehabilitation spending in Indonesia on sectoral output, employee compensation, and gross operating surplus. A quantitative simulation uses the 2020 Indonesian domestic input–output table at basic prices, comprising 185 products. Rehabilitation expenditure is introduced as a final demand shock, and its effects are traced through the Leontief framework and corresponding income coefficients. The reported results indicate positive economic responses across the selected products, with agricultural, forestry, and fisheries services recording the largest changes in all three indicators. Banking services rank second, followed by wood, shrimp and other crustaceans, and fish. These findings suggest that the distribution of spending and existing production linkages shape the economic responses associated with rehabilitation expenditure. Policy should therefore combine ecological restoration priorities with transparent expenditure allocation, stronger local supply chains, and monitoring of income distribution. However, the estimates represent expenditure effects rather than measured ecological recovery or demonstrated improvements in household welfare. Fixed technical coefficients, the use of a historical economic structure, and the absence of spatial and ecological dynamics limit interpretation. Future research should update production relationships and integrate environmental outcomes

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DOI: 10.52300/jepp.v6i1.22548 DOI URL: https://doi.org/10.52300/jepp.v6i1.22548
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Published

2026-10-16