2000
DOI: 10.1111/1467-9493.00084
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Labour Market Adjustment in the Time of Krismon: Changes in Employment Structure in Indonesia, 1997–98

Abstract: This study examines the labour market outcomes of the recent economic crisis (krismon) in Indonesia, focusing on the change of employment structure between 1997 and 1998. Indonesia's labour market has been extremely flexible in adjusting itself during the crisis. Labour has moved from "modern" economic sectors to agricultural and "informal" sectors, reflecting the strategy of poor households to cope with the hardship. While the impact of the economic crisis on the majority of male workers has been severe, fema… Show more

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Cited by 3 publications
(2 citation statements)
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“…It is not evident that the modern sector drains the growth potential of the indigenous agricultural sector of the economy, as suggested by dual economy theory. Lagging sectors and regions, like agriculture in Sleman, respond to rising unemployment through intensification, by absorbing increased numbers of workers, as also documented by McGee and Firman (2000). This process should be labelled not as involution, but rather allocative efficiency.…”
Section: Proximity and Disconnection: Prevailing Tendencies Towards Ementioning
confidence: 95%
“…It is not evident that the modern sector drains the growth potential of the indigenous agricultural sector of the economy, as suggested by dual economy theory. Lagging sectors and regions, like agriculture in Sleman, respond to rising unemployment through intensification, by absorbing increased numbers of workers, as also documented by McGee and Firman (2000). This process should be labelled not as involution, but rather allocative efficiency.…”
Section: Proximity and Disconnection: Prevailing Tendencies Towards Ementioning
confidence: 95%
“…Also, the example of Asian cities demonstrates that the urban economic development policy gives weight to services, particularly in larger urban areas (Morshidi 2000). In Indonesia, for example, before the economic crisis in mid-1997, there was a large-scale transfer of employees from the agricultural sector to the trade and services sector (McGee and Firman 2000).…”
Section: Tertiarisation -A Global Development Factormentioning
confidence: 99%