The Indonesian Economic and Political Miracle.

by Guy J. Pauker

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Text of an article published in the 1973 Outlook section of the [Pasadena] [Star-News] discussing the vast changes in Indonesia's position during the past eight years. In 1965 Indonesia was experiencing the worst inflation in the world, and was the first and only government to withdraw from the United Nations. Now, under Suharto's soft-spoken but strong-willed government of technicians, Indonesia's foreign minister has completed a year as President of the UN General Assembly; the inflation rates are lower than other countries; and the government stays on the middle road between repression and anarchy. Believers in free enterprise and budgetary responsibility, Suharto's government returned the enterprises that Sukarno had confiscated and made Indonesia attractive to private investors. However, they retained earlier limitations on the political process that guarantee their continued power. The major unsolved problem is creating enough jobs for the rapidly increasing youth. 7 pp.

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