This study focusses on the dynamics which underlie the changing relationships
between Chinese and pribumi business interests and the state. Under the Colonial
state, the indigenous bourgeoisie had been practically eliminated, not only by the
Dutch but also by priyayi bureaucrats. Consequently, Indonesia inherited a socially
and politically weak bourgeoisie dominated by the Chinese who controlled
substantial commercial networks, but had limited potential for political organisation.
In the post-colonial era, attempts to build an indigenous bourgeoisie failed and it was
the state that assumed the leading role in the economy.
Under the New Order Government, the Chinese were to play a central role in
promoting rapid economic growth and industrialisation. While this intensified
resentment in some areas, new relationships between Chinese and pribumi capital
and the state emerged. The intensifying relationship with the Chinese and pribumi
had been built primarily around business alliances between large Chinese companies
and companies owned by powerful political families. As such, cooperation remain
highly dependent upon protective policies and access to monopolies.
The unleashing of economic liberalisation resulted in the maturation of the
bourgeoisie, characterised by their increasing entry into the international market.
Conflict within business continued to evolve around the issues of conglomerates and
was largely racially based. However, other factions were to emerge between
upstream and downstream producers, between trading monopolists and producers.
The case studies in this thesis draw out the increasing complexity of pribumi-
Chinese relations. In the case of cloves we find that conflict between a Chinese
cigarette manufacturing conglomerate and apribumi trading monopolist had few
racial aspects. Rather, it was a conflict between rent-seekers and producers that was
reflected in other parts of the economy and included both pribumi and Chinese on
either side. As the economy grew and capitalism matured, issues other than race
became important. These included deregulation of trade and investment, regulation
and macro policy, with Pribumi and Chinese becoming absorbed and integrated on
either side of the various conflicts.
| Identifer | oai:union.ndltd.org:ADTP/221710 |
| Date | January 1997 |
| Creators | david@widi.famili.com, David Widihandojo |
| Publisher | Murdoch University |
| Source Sets | Australiasian Digital Theses Program |
| Language | English |
| Detected Language | English |
| Rights | http://www.murdoch.edu.au/goto/CopyrightNotice, Copyright David Widihandojo |
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