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Indonesian economic development: Mirage or miracle?

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  • Dowling, J. Malcolm
  • Yap, Chin-Fang
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    Abstract

    This paper focuses on a few major developments that took place during the three decades from the late 1960s to the Asian financial crisis. The study finds, in retrospect, that many of the Indonesian economy's weaknesses--now so glaringly apparent--were there all the time. The paper concludes that the Indonesian banking crisis was primarily domestic in nature, more so than the crises in Korea and Thailand. The extent of the failure was much more widespread and probably resulted from a chain of bank runs and bank closings, reinforced by uncertainty and lack of faith in the government's commitment to the IMF program and IMF fumbling.

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    Bibliographic Info

    Article provided by Elsevier in its journal Journal of Asian Economics.

    Volume (Year): 19 (2008)
    Issue (Month): 5-6 ()
    Pages: 474-485

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    Handle: RePEc:eee:asieco:v:19:y:2008:i:5-6:p:474-485

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    Web page: http://www.elsevier.com/locate/asieco

    Related research

    Keywords: Indonesia Reforms Crisis Corruption Macroeconomics;

    References

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    1. International Monetary Fund, 2007. "Indonesia," IMF Staff Country Reports 07/273, International Monetary Fund.
    2. Shang-Jin Wei, 2000. "Local Corruption and Global Capital Flows," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 31(2), pages 303-354.
    3. Hill,Hal, 2000. "The Indonesian Economy," Cambridge Books, Cambridge University Press, number 9780521663670, April.
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    Cited by:
    1. Muliaman D. Hadad & Maximilian J. B. Hall & Wimboh Santoso & Karligash Kenjegalieva & Richard Simper, 2009. "Productivity Changes in Indonesian Banking: Application of a New Approach to Estimating Malmquist Indices," Discussion Paper Series 2009_13, Department of Economics, Loughborough University, revised Sep 2009.

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