As one of the districts that have an important role for Karanganyar Regency in agriculture and tourism, Jenawi District is a producer of 18 out of the 22 agricultural commodities in Karanganyar Regency, Indonesia. In addition, Jenawi District also has various natural tourism objects such as caves, valleys, waterfalls, springs, and other tourism objects. However, the potential of agriculture and tourism has not been able to improve community welfare because there is no policy to encourage the agricultural and tourism sectors in Jenawi District. Therefore, this study aims to formulate alternative policy models in the agriculture and tourism sectors in Jenawi District. This research uses quantitative research methods using primary and secondary data types, where the data collection techniques used are observation, interviews, FGDs, literature reviews, and GIS analysis. GIS analysis enabled spatial data integration and visualization, facilitating the identification of patterns, relationships, and potential areas for agriculture and tourism development. The analysis method used is a dynamic system method that uses the causal loop diagram analysis technique. The analysis results found that the dynamic system model in Jenawi District that has been designed is able to work properly with high accuracy levels. There are differences between with and without policies, especially in the incentives used, which have significant differences. With the implementation of policies in Jenawi District, there is a difference in income results in the agricultural sector reaching 20%-27%, and in the tourism sector reaching 80%.