ABSTRACT
The political and economic volatilities of Indonesia's parliamentary democracy unraveled the political center, radicalizing President Sukarno who announced a Guided Democracy/Guided Economy, establishing an economic nationalist/communist hybrid regime. International Relations (IR) once maintained that religious forces were irrelevant to international politics. Indonesian foreign policy during the periods of authoritarian rule has not been traditionally interpreted as influenced by Islamic politics. The discipline, especially the American variant, continues to practice International Political Economy (IpE), minimizing the degree to which the contest between political ideas and identities shape world order. Indonesia is a young democracy that has been remarkably successful at resisting attempts at authoritarianism and totalitarianism, but economic crises certainly has the potential to radicalize Islamic organizations, Indonesia's Muslims, and to create the conditions that could potentially lead to the erosion of democratic freedoms, and precipitate the rise to power of non-democratic blocs.
