Contents 1.
INTRODUCTION ....................................................................................................................................................1
2. DETERMINANTS OF INCOME AND POVERTY DYNAMICS AND THE ROLE OF SOCIAL DEVELOPMENT...............................................................................................................................................................2 2.1 2.2
STANDARD DETERMINANTS OF WELFARE CHANGES AND POVERTY DYNAMICS.......................................2 THE ROLE OF SOCIAL CAPITAL IN EXPLAINING WELFARE CHANGES AND POVERTY DYNAMICS.............6
3.
THE INDONESIAN LIVING STANDARD SURVEY ............................................................................... 10
4.
DESCRIPTIVE RESULTS AND ECONOMIC CONTEXT..................................................................... 12 4.1 4.2 4.3
5.
DOES DEMOCRACY AND COOPERATION AFFECT POVERTY? ................................................ 19 5.1 5.2
6.
THE FINANCIAL CRISES 1997-98....................................................................................................................12 DESCRIPTIVE STATISTICS................................................................................................................................13 CONSTRUCTING AN INDEX OF DEMOCRATIC DECISION-MAKING AND OF COOPERATION ......................17
DOES PARTICIPATION AFFECT LEVELS OF INCOME?....................................................................................19 DOES PARTICIPATION INCREASE INCOME GROWTH?...................................................................................22
CONCLUSION ....................................................................................................................................................... 27
LITERATURE ................................................................................................................................................................. 28 APPENDIX........................................................................................................................................................................ 30
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