Industrialisation after a deep economic crisis: Indonesia

Haryo Aswicahyono, Hal Hill*, Dionisius Narjoko

*Corresponding author for this work

Research output: Contribution to journalArticlepeer-review

39 Citations (Scopus)


Indonesia experienced a deep economic contraction as a result of the 1997-1998 Asian crisis. This paper develops an analytical framework that facilitates an examination of trends and patterns in the country's industrial sector in the wake of the crisis, and explains why it appears to be on a lower growth trajectory. We particularly focus on why industrialisation has become less employment elastic; why industrial exports have performed indifferently; and why the process of small firms 'graduating' to larger units has slowed, and most of the output growth is now coming from existing firms rather than new entrants.

Original languageEnglish
Pages (from-to)1084-1108
Number of pages25
JournalJournal of Development Studies
Issue number6
Publication statusPublished - Jul 2010


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