Indonesia: A Country Study Book

Foreword iii

Acknowledgments v

Preface xiii

Table A Selected Acronyms and Contractions xv

Table B Chronology of Important Events xxiii

Table C Metric Conversion Coefficients and Factors xxix

Country Profile xxxi

Introduction xxxix

Chapter 1 Historical Setting William H. Frederick 1

Origins 4

Early Inhabitation 4

Social and Cultural Developments 5

Expanding Networks 6

Early Hegemonies 7

The Earliest Historical Records 7

Srivijaya and Mataram 8

The Rise and Fall of Majapahit 12

Successor Kingdoms of Java 12

Founding and Growth of Majapahit, 1268-1389 14

Outside Influences 16

The Early Modern Era 18

Commercial Developments 18

Westerners and Indigenous Powers 19

The Role of the Dutch United East Indies Company, 1602-19 23

The Javanese and the VOC, 1619-1749 24

Decline of the VOC, 1749-1816 27

Development of European Colonial Rule 30

End of the Ancien Régime in Java, 1816-34 30

Establishment of the Colonial State 33

The Cultivation System 34

The Ethical Policy 38

The Racial Issue 39

Modernism and Nationalism in the Colonial Age 41

The Rise of Education and Student Associations, 1900-1920 41

Formation of Political Parties, 1911-27 44

The Rise of Sukarno, 1921-26 46

Colonial Government Reactions, 1927-40 47

War and Early Independence 49

The Japanese Occupation, 1942-45 49

The National Revolution, 1945-49 54

The Road to Guided Democracy, 1950-65 60

The "Coup" and Its Aftermath, 1965-66 69

Contemporary Indonesia 72

Rise of the New Order, 1966-85 72

Decline and Fall of the New Order, 1985-98 83

Reformasi and the Post-New Order Era, 1998-2009 85

Chapter 2 The Society and Its Environment Joel C. Kuipers 95

The Geographic Context 98

Geographic Regions 98

Volcanoes and Earthquakes 99

Climate 102

Environmental Concerns 104

National Territory: Rights, Responsibilities, and Challenges 105

Emerging Dynamics of Indonesian Communities 107

Population 107

Family 109

National, Religious, and Local Authority 110

Urbanization and Decentralization 111

Migration 112

Social Class 114

Civil Society 115

Violence, Vengeance, and Law 117

Religion and World View 118

Islam 118

Christianity 121

Hinduism 123

Buddhism 125

Confucianism and Daoism 126

The Emerging National Culture 126

Living Environments 126

Language 128

Food, Clothing, and Popular Culture 129

Sources of Local Identification 130

Tradition and Multiethnicity 130

Javanese 132

Balinese 137

Peoples of Sumatra 139

Ethnic Minorities 142

Education 150

Primary and Secondary Education 150

Islamic Schools 153

Higher Education 154

Health 156

Services and Infrastructure 156

Government Support 158

Traditional and Modern Health Practices 159

Major Health Problems 159

Pharmaceuticals 160

Public Sanitation 161

Society's Prospects 161

Chapter 3 The Economy J. Thomas Lindblad 163

The Role of Government 166

The Political Economy of Reform 167

Financial Reform 169

Industrial and Trade Reform 172

Crisis Management 174

Postcrisis Reform 177

Government Finance 180

Central Government Budget 180

Decentralization 183

Monetary and Exchange-Rate Policy 185

Indonesia in the Global Economy 188

The Changing Nature of Trade and Aid 188

Principal Trade Relationships 191

Employment and Income 192

Agriculture 197

Food Crops 198

Export Crops 199

Livestock 202

Fishing and Forestry 202

Industry 205

Foreign Inputs 206

Small-Scale Industry 209

Minerals 210

Petroleum and Natural Gas 210

Other Minerals 212

Services and Infrastructure 214

Transportation 215

Post and Telecommunications 219

Electric Power 220

Economic Prospects 221

Chapter 4 Government and Politics Blair A. King 225

The Political Debate 229

The Constitutional Framework 231

The Structure of Government 234

Legislative Bodies 235

The Executive 241

The Judiciary 244

Independent Bodies 246

Local Government 247

Political Culture 253

Inclusionary Coalitions 254

Consensus-Based Decision Making 256

Traditional Political Culture 257

Islamic Political Culture 258

Pancasila: The State Ideology 260

The Political Process 262

The Multiparty System: Significant Pluralism 263

Secular Nationalist Parties 264

Muslim Parties 268

Islamist Parties 271

Elections 275

Political Dynamics 279

The Media 286

Foreign Policy 288

Political Considerations 288

Participation in ASEAN 290

Relations with Neighboring Nations 295

Relations with East Asia 301

Relations with the United States 303

Consolidating Democracy, Contributing to Global Peace 305

Chapter 5 National Security John B. Haseman 307

Historical Context 312

Independence and the Sukarno Period, 1945-65 312

Suharto's New Order, 1966-98 315

Post-Suharto Reforms 319

East Timor 321

Separatist Rebellions 323

Ethnic and Religious Conflict 328

Terrorism 329

The Armed Forces in National Life 330

Political and Administrative Role 332

Participation in the Economy 332

Total People's Defense 334

Defense Spending and the Defense Industry 335

Personnel 338

Organization and Equipment of the Armed Forces 339

Administrative and Command Structure 339

Military Education 343

Branches of Service 344

Conditions of Service 349

Women in the Armed Forces 349

Uniforms, Ranks, and Insignia 350

Foreign Military Relations 350

Security and Intelligence Agencies 354

The National Police 355

The Criminal Justice System 358

Crime and Political Offenses 359

Criminal Law and Proceedings 359

Administration of Criminal Justice 360

Penal System 362

Narcotics and Counternarcotics Operations 363

National Security in the Contemporary Era 363

Bibliography 367

Glossary 405

Index 413

Contributors 437

Published Country Studies 439

List of Figures

1 Administrative Divisions of Indonesia, 2009 xxxviii

2 Sumatra and Java from the Seventh Century to the Eleventh Century 10

3 The Eastern Archipelago in the Seventeenth and Eighteenth Centuries 20

4 Dutch Expansion in Java, 1619-1830 28

5 Sulawesi in the Nineteenth and Twentieth Centuries 32

6 Topography and Drainage 100

7 Age-Sex Ratio, 2009, and Projected Ratio, 2029 108

8 Major Crop Production, 2009 200

9 Selected Industrial Activity, 2009 208

10 Major Transportation Facilities, 2009 218

11 Structure of the Government, 2009 236

12 Organization of the Department of Defense, 2009 320

13 Organization of the Armed Forces, 2009 340

14 Army Territorial Structure, 2009 342

15 Navy Fleet Commands, 2009 348

16 Air Force Operations Commands, 2009 348

17 Officer Ranks and Insignia, 2009 351

18 Enlisted Ranks and Insignia, 2009 353