For decades media as well as citizens frequently listen to the voice of those struggling under what it is called as economics injustice. The story of twenty-two years top and down resources exploitation in Papua, starting from Scott Paper in 1988 until mega development project of MIFEE (The Merauke Integrated Food and Energy Estate) right now, has caused many severe problems, including human right abuses, environmental devastation and enduring poverty for indigenous people while creating prosperity for immigrant workers. Another story of corruption and gratification from President Soeharto’s era until the end of President Susilo Bambang Yudhoyono’s era, covering almost all elements of political elites, ministers, governors, regents and even the prosecutors has led to the crisis of public trust towards the governments. The other story of human trafficking of Indonesian woman labors in Arab world and the high rate of unemployment, 5.7 % (BPS,2014), which is the highest after Myanmar and Philippine among ASEAN countries makes Indonesia as one of the country with a big problem of job opportunity and human resources quality. Such these stories are in no way boosting, rather obstructing Indonesian economy. Consequently, the breakthrough of new transitional government is obviously needed to tackle all these issues, addressing Indonesian economic growth in the middle of emerging market, especially under the transformation of ASEAN Economic Community in 2015, in order to provide economic justice and prosperity for all its citizens. Indeed, the new government cannot work alone to cover 240 million citizens within 34 provinces. It needs the coordination and synergy from all parties, particularly the one having the highest authority and responsibility, government Institutions.
Table of Contents
1. Introduction
2. The role of government institutions in boosting economic growth
2.1 Harmonizing the difference interest of people.
2.2 Formulating and ensuring the laws and policies to be executed in accountability fashion.
2.3 Responding the threats of world changing environment through bright shift in strategies.
3. Profiling the performance of government institution in emerging countries
4. Improving the quality of government institutions to achieve Indonesia's Economic growth
5. Conclusion
Research Objectives and Core Themes
The primary objective of this work is to examine the pivotal role of government institutions in fostering Indonesia's economic growth during a transitional era, specifically addressing how institutional performance and quality impact economic stability and development in an emerging market context.
- The impact of institutional quality on national economic performance.
- Mechanisms for harmonizing diverse stakeholder interests within an economy.
- The role of policy accountability and legal frameworks in reducing corruption.
- Strategies for developing high-quality human capital through institutional reform.
- Comparative analysis of institutional performance across emerging economies.
Excerpt from the Book
The role of government institutions in boosting economic growth
Had observing the phenomena of what happened in Indonesia or even around the world, it seems like everything is just connected and serve as a consequence to one another. For instance, the stories raised above are very much related to the threats doubting Indonesian economic growth in the middle of emerging countries. It is the role of the transitional government to transform all these kinds of threats into such virtuous opportunities through the real performance of its institutions. For the sake of economic growth, there are at least three major roles that the government institutions have to perform:
1. Harmonizing the difference interest of people.
The main bone of contention is frequently the different interest perceived among people, for example between the management and shareholders within a company. In a broader level such as in Indonesia, where the economic actors are more varied and come from different backgrounds, the issue demand higher attention. It needs the power of legal body, such as government institutions to harmonize all of these differences. Harmonization is a core concept of the global growing economy, which is to meet the satisfaction of all economic actors, driving higher economic growth. The story of resource exploitation in Papua is also can be solved through this harmonization. Considering the interest of indigenous citizen there and revising the concept of MIFEE (The Merauke Integrated Food and Energy Estate) for example, is one of the way that the transitional government might order to end this problem. Have the citizens satisfied with the government performance, then the economic and social stability will be created, encouraging money flows inside the country, achieving higher economic growth.
Summary of Chapters
Introduction: This chapter highlights the challenges facing the Indonesian economy, including corruption, unemployment, and social issues, establishing the necessity for a reformed government approach.
The role of government institutions in boosting economic growth: This section outlines three critical institutional functions: harmonizing diverse interests, ensuring accountable policy execution, and adapting to global environmental shifts.
Profiling the performance of government institution in emerging countries: This chapter provides a comparative analysis of institutional performance across various emerging nations, using Global Competitiveness Index data to contrast successful models with current Indonesian challenges.
Improving the quality of government institutions to achieve Indonesia's Economic growth: This chapter discusses the need for leadership with clear vision and commitment to drive reform and enhance national competitiveness.
Conclusion: This section summarizes the urgent need for competent institutional leadership and reform to sustain economic growth and citizen prosperity.
Keywords
Indonesia, Economic Growth, Government Institutions, Institutional Performance, Transitional Government, Economic Justice, Corruption, Public Trust, Policy Accountability, Emerging Markets, Competitiveness, Human Capital, Harmonization, Infrastructure, Reform.
Frequently Asked Questions
What is the central focus of this publication?
The work focuses on the intersection between government institutional performance and national economic growth within Indonesia during a period of political and economic transition.
What are the primary themes discussed?
The themes include the necessity of institutional reform, the importance of harmonizing stakeholder interests, the role of transparent law-making, and the optimization of human capital.
What is the main goal of the research?
The goal is to determine how government institutions can be improved to foster higher economic growth and ensure economic justice for citizens.
Which scientific approach does the author use?
The author employs a qualitative analytical approach, evaluating current institutional challenges in Indonesia against global competitiveness benchmarks and historical data.
What topics are covered in the main body?
The main body covers institutional responsibilities, comparative international performance, and specific recommendations for the Indonesian government to improve its competitiveness.
Which keywords define the document?
Key terms include Institutional Quality, Economic Growth, Accountability, Transparency, Transitional Era, and Competitiveness.
How does the author view the role of institutions in Papua?
The author suggests that the resource exploitation issues in Papua can be resolved through better institutional harmonization and by revising existing development concepts to satisfy indigenous interests.
Why is the "walk the talk" principle mentioned regarding South Korea?
It is used as an example of successful institutional performance where government officials' actions align with their policies, resulting in significant national development and increased productivity.
- Arbeit zitieren
- Dahlia Buchari (Autor:in), 2015, Addressing Indonesia's Economic Growth in Transitional Era. Do Institutions Matter?, München, GRIN Verlag, https://www.grin.com/document/288594
