Summary Notwithstanding improvements in Indonesia's political and institutional infrastructure, growth remains slower than in pre-crisis years, and there is much discussion about reinvigorating the economy. To this end, the government introduced its fourth major policy package in June 2007,...

Foreign multinational corporations (MNCs) have accounted for important shares of employment and production in Indonesian manufacturing since 1975, and these shares increased especially rapidly in the early to mid-1990s. These increases were concentrated in the machinery industries and in MNCs...

Internationalized production, that is, production by multinational firms outside their home countries has increased over the last two decades, but it was still, in 1990, only about 7 percent of world output. The share was higher, at 15 percent in 'industry,' including manufacturing, trade,...