In Indonesia’s case as Rosser (2007) claims that the conspicuously unusual economic growth in Indonesia over the period 1970s until 1980s was induces by oil and gas export with 70% annual revenues for central government, while the economic growth in these periods is between 6-10%. The question in here is what makes Indonesia could achieve economic growth and overcome the natural resource curse in this period and what the implications on this nation. To answer this question I will start to examine the policy behind the success story of Indonesia growth. First in the Soeharto era’s as a President of Indonesia he pursue the capitalist economic in Indonesia and with authoritarian leadership styles the implementation for economic policy could be easily addressed. Second factor is because government could control the rent seeking and invest the oil revenue on the lagging resources such as, agriculture and manufacture and diversify economic revenues from all
In Indonesia’s case as Rosser (2007) claims that the conspicuously unusual economic growth in Indonesia over the period 1970s until 1980s was induces by oil and gas export with 70% annual revenues for central government, while the economic growth in these periods is between 6-10%. The question in here is what makes Indonesia could achieve economic growth and overcome the natural resource curse in this period and what the implications on this nation. To answer this question I will start to examine the policy behind the success story of Indonesia growth. First in the Soeharto era’s as a President of Indonesia he pursue the capitalist economic in Indonesia and with authoritarian leadership styles the implementation for economic policy could be easily addressed. Second factor is because government could control the rent seeking and invest the oil revenue on the lagging resources such as, agriculture and manufacture and diversify economic revenues from all