Indonesia in the 1980's

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Indonesia’s industrialisation policies play an important role in supporting the achievement of high and sustained economic growth. The move towards export promotion from import substitution in the mid-1980s succeeded in restructuring the economy from agriculture to semi-industrious.
As a result, the role of industry within the economy has become increasingly important, and whilst it has been successful within its own sphere of socio-economic prosperity and sustainability, in relative terms, Indonesia has still been outperformed by the 4 ASIAN tigers. Whilst bold and decisive redirection of economic policy is effective, if the implementation and execution of new policies fails to anticipate the demands of a competitive international market, then those policies will be of significantly less worth in a global context. The fiscal policies of the island group just north of Australia need to be flexible to allow for a changing, growing market, the pro-active approach.

Indonesia is the largest economy in South East Asia, primary industry of industry (47%), agriculture (15%) and a service industry that makes up nearly 40% of the GDP. More than 1,000 islands totalling almost 2,000,000sq/km make up the largest archipelago in the world. In 2012 the labour force stood at 120 million, 16 times the population of NSW. So what we have is a top 20 economy with a huge workforce and natural resources worth 10s of billions a year.

Stepping back to a pre-Suharto Indonesia (for its contextual

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