Macroeconomic Policies in Indonesia

"Macroeconomic Policies in Indonesia fills a tremendous gap in the literature of Indonesian studies. Although much has been written about Indonesia’s economic miracle during the three decades of President Suharto’s New Order, little has been written about macroeconomic policies in post-Suharto democratic, decentralized Indonesia. This book provides an insightful overview of monetary and fiscal policies in Indonesia since the 1997 Asian financial crisis, as well as a perceptive examination of Indonesia’s financial and capital markets policies in this "reformasi" era. Macroeconomic Policies in Indonesia is an invaluable book for scholars of Indonesia’s economic policies since the fall of Suharto." — Jay K. Rosengard, Faculty Chair, Harvard Kennedy School Indonesia Program

"This book is one of the few to analyze the Indonesian economy across several sectors since 1997. It asks and answers questions of interest to those concerned with Indonesia's policies and future: Why have industry and manufactured exports stalled so badly? Why is growth of around 5% a year since 2000 so slow compared to previous decades? What will happen to the natural-resource based growth now that China is slowing? The various authors, experts in their own right, produce a coherent story which is informed by the political economy of the country. Since Indonesia is critical to the success of Southeast Asia and is one of the few models of successful Muslim democracies, the answers to these questions will be of interest to a wider audience than just economists. The book deserves attention." —David Dapice, Professor of Economics, Tufts University and Economist of the Vietnam Program, Harvard University's Kennedy School of Government

"Anwar Nasution, one of Indonesia’s most respected economists, has prepared this excellent collection of articles on current issues in Indonesian economic policy. The banking system in Indonesia needed to be rebuilt after the 1997-98 Asian financial crisis; Professor Anwar provides a survey of the key steps which were crucial in making it possible for Indonesia to move forward after the crisis. Other contributors, all very experienced commentators and policy-makers in Indonesia, discuss central issues in fiscal and trade policies, manufacturing, decentralization, innovation, and other topics. The book is a must read for scholars and policy makers who wish to understand the economic challenges for Indonesia in the decade ahead." — Peter McCawley, Former Head, Indonesia Project, Australian National University

"This is a diverse collection of studies by well-known economists from both academia and practical policy-making, all experts on Indonesia. It covers not only macro-economics (monetary policy, finance and fiscal issues), but trade and industry policy as well. It has valuable insights into the fascinating post-Asian-crisis period." — Stephen Grenville, Visiting Fellow, Lowy Institute for International Policy, Australia

"The book serves as a useful reference for those who are interested in understanding the extent to which economic policies work in Indonesia." - Siwage Dharma Negara, Institute of Southeast Asian Studies, Journal of Southeast Asian Economies