Education is a fundamental investment for a country’s progress. The Indonesian government has increased the education budget in the 2025 Draft State Budget to drive post-pandemic economic recovery and growth. This research aims to analyze the linkages between the education sector and other sectors, and simulates changes in output, value added, household income, and employment under an education budget increase scenario. The study utilizes the 2024 Input-Output (I-O) table, with the education budget increase of IDR 59.24 trillion treated as a final demand injection into the Education Services sector. Based on IDK and IDP values, the education sector is in the lagging category. However, the injection generated an additional national output of IDR 86.20 trillion and an additional education sector output of IDR 60.04 trillion. Besides output, the injection also increased value added, household income, and employment in both the education sector and other sectors.
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