ABSTRACT

In the era of the New Order under President Soeharto, Indonesia has been blessed by sustained development in at least three forms: economic growth, national stability, and equitable distribution. National stability has been maintained despite an increase in political activity in 1989 in view of the approaching presidential election of 1992. The ratio of earnings between urban and rural sectors is still in favour of the former, and this gap seems to be widening. In macroeconomic terms, however, the living standard of the people has risen: those living below the poverty line decline from 54 million to 30 million. In 1989 there was more evidence of greater public awareness that Indonesia was probably approaching a period of political transition as well as a growing tendency towards political outspokenness in socio-political matters. In sum, political, social, and economic developments in 1989 were more promising than those in 1988, indicating a greater maturity in Indonesian national life.