How can Indonesia maintain creditworthiness and noninflationary growth ?
Despite external shocks, Indonesia has maintained creditworthiness through swift adjustment. Indonesia's flexible economic management and clear policy signals have lent stability to the economy, in contrast to the stop and go reforms, uncertainty, and constant debt renegotiations in many high debt countries. The authors use an econometrically estimated macroeconomic model to analyze open economy adjustment in Indonesia - particularly the interaction between the exchange rate, the interest rate, growth, and debt - and to analyze future policy changes in light of Indonesia's objectives for growth, external debt, and inflation.
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| Date of creation: | 31 Oct 1989 |
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| Handle: | RePEc:wbk:wbrwps:291 |
| Contact details of provider: | Postal: 1818 H Street, N.W., Washington, DC 20433 Phone: (202) 477-1234 Web page: http://www.worldbank.org/ Email: More information through EDIRC
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- Bhattacharya, A. & Linn, J.F., 1988. "Trade And Industrial Policies In The Developing Countries Of East Asia," World Bank - Discussion Papers 27, World Bank.
- Corbo, Vittorio, 1985. "International Prices, Wages and Inflation in an Open Economy: A Chilean Model," The Review of Economics and Statistics, MIT Press, vol. 67(4), pages 564-73, November.
- Bruno, Michael, 1978. "Exchange Rates, Import Costs, and Wage-Price Dynamics," Journal of Political Economy, University of Chicago Press, vol. 86(3), pages 379-403, June.
- Pinto, Brian, 1987. "Nigeria during and after the Oil Boom: A Policy Comparison with Indonesia," World Bank Economic Review, World Bank Group, vol. 1(3), pages 419-45, May.
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