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Capitalism, Oligarchic Power and the State in Indonesia

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[The Asian economic crisis that began in Thailand in mid-1997 precipitated a chain of events that eventually led to the downfall of Indonesia's Soeharto — one of the last of the great Cold-War-era dictators. The end of Soeharto's 32-year rule in 1998 signalled the close of a major chapter in the recent history of Indonesia, as the framework for organising economic and political power that he had carefully crafted proved unsustainable in his absence. The heavily controlled state corporatist system soon unravelled, as the once powerful business conglomerates that had prospered also crashed under the weight of payments on gargantuan loans. It is not yet dear whether it is possible for some of these conglomerates to launch a successful comeback on the basis of new alliances and arrangements, as Indonesia slowly, and painfully, attempts to emerge from crisis. The country's existing political and economic system is being contested from various quarters, although the salient social forces involved are largely confined to those cultivated under Soeharto's New Order, and therefore exclude those, like labour and the peasantry, which were already marginalised., The Asian economic crisis that began in Thailand in mid-1997 precipitated a chain of events that eventually led to the downfall of Indonesia's Soeharto — one of the last of the great Cold-War-era dictators. The end of Soeharto's 32-year rule in 1998 signalled the close of a major chapter in the recent history of Indonesia, as the framework for organising economic and political power that he had carefully crafted proved unsustainable in his absence. The heavily controlled state corporatist system soon unravelled, as the once powerful business conglomerates that had prospered also crashed under the weight of payments on gargantuan loans. It is not yet dear whether it is possible for some of these conglomerates to launch a successful comeback on the basis of new alliances and arrangements, as Indonesia slowly, and painfully, attempts to emerge from crisis. The country's existing political and economic system is being contested from various quarters, although the salient social forces involved are largely confined to those cultivated under Soeharto's New Order, and therefore exclude those, like labour and the peasantry, which were already marginalised.]

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/content/journals/10.1163/156920601100414785
2001-01-01
2016-12-10

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