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Analysis of Effect of Plant Towards the Societal Welfare: A Case in PT. PIR Hutani Lestari

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  • Dearlina Sinaga

Abstract

The forest damages caused by many factors forests’ fires, illegal logging and shifting cultivation. This negatively impacts to the large of ecological damage, decreased biodiversity, declining economic value of forests and declining soil productivity, climate change globally. The impact of smoke from forest fires also damage the public health, disrupt ground transportation, rivers, lakes, sea and air. The efforts to overcome this issue is by the development of forest on private land which is called community forests or PIR (Nucleus Estate Company) or farmer that will make people feel valued and can help to improve the economy so that people are not overwhelmed with jealousy. The findings of this study stated the land area factor significantly influence the societal welfare by 2.948; the production factor has a significant effect on the societal welfare by 3.859; the contributing factor has a significant effect on the societal welfare by 5.149. Meanwhile, the land area, production and supporting factors all together have a significant effect on the societal welfare at 0.753, which means that changes in societal welfare can be explained from changes in land area, production and supporting factors at 75.3%.

Suggested Citation

  • Dearlina Sinaga, 2014. "Analysis of Effect of Plant Towards the Societal Welfare: A Case in PT. PIR Hutani Lestari," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 4(11), pages 124-137, November.
    • Handle: RePEc:hur:ijarbs:v:4:y:2014:i:11:p:124-137
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