Student frustration and dialog

Student frustration and dialog

From Merdeka

Accompanying the current monetary crisis in Indonesia have
been manifestations of student frustration; young people
demanding economic and political reforms and requesting a dialog
with the President.

This phenomenon seems to have a 30-year cycle. In 1966
students undertook similar activities. One of their demands then
was the lowering of prices of primary needs.

Student actions and words have to be studied if they are to be
effective in solving the problems or they will only be a waste of
time, energy, money and even lives.

In my opinion it would be more effective and economical if
students communicate through the media. A Rp 300 (4 U.S. cents)
or Rp 700 stamp will serve the purpose.

As a student in political science at the UPBJJ Palembang Open
University on Bangka island I wish to contribute my thoughts on
the present situation and the country's development.

The root of the monetary crisis was that the wheels of the
economy were not running as they should have been. Like a car
with a tire that has swellings on it, it will not run perfectly
and will damage other components so that in time it will break
down and not reach its destination.

To repair the wheels of the economy let us consider a popular
macroeconomic theory, namely savings = investment and leads to
full employment opportunities. This will enable the economy to
run as it should.

Observations in the field of banking show that many banks,
especially private ones, succeeded in motivating the community to
save by offering attractive incentives. But there was not enough
investment so there was not enough employment.

The situation is similar in the provinces. I have observed a
private bank on Bangka island that nearly every day sends four to
six cases of money to Jakarta. The money sent from the provinces
to Jakarta is further transferred abroad by the banks for
investment. We all know about capital flight to foreign
countries.

Is the essence of national development not the development in
the provinces in order to strengthen the fundamentals of the
economy? Does it make sense if development is mainly concentrated
in Jakarta or in Java by sucking capital from savers in other
provinces?

JOHAN

Pangkalpinang, Bangka