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ISSN: 0007-4918 (Print) 1472-7234 (Online) Journal homepage: http://www.tandfonline.com/loi/cbie20

HEINZ ARNDT: AN APPRECIATION

Peter McCawley & Colleagues

To cite this article: Peter McCawley & Colleagues (2002) HEINZ ARNDT: AN APPRECIATION,

Bulletin of Indonesian Economic Studies, 38:2, 163-178, DOI: 10.1080/000749102320145039

To link to this article: http://dx.doi.org/10.1080/000749102320145039

Published online: 17 Jun 2010.

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ISSN0007-4918print/ISSN1472-7234online/02/020163-14 ©2002Indonesia ProjectANU

HEINZ

ARNDT:

AN

APPRECIATION

This appreciation was compiledonbehalfofthe EditorialBoardoftheBulletin of IndonesianEconomicStudies(BIES) by PeterMcCawley,oneof thefirstofHeinz Arndt’sgraduatestudentsto workonIndonesia,andlaterheadof theIndonesia Project(1981–85)andjointeditor ofthe BIES(1983–86).Heinzwasthe founding

editoroftheBIES(1965–82),andamemberofitsEditorialBoardfortheremainder

ofhislife.

ofstrongopinions,hewasnever reluc

-tant to participate vigorously in public discussionof controversial issues, and could alwaysbe relieduponto giveas goodashegotinopendebate.Buthecom

-mandedenormousrespectandaffection aswell.Hetookgreatjoyinthesimple pleasuresoflife—hisfamilyandfriends,

music,chess,andgoodconversation.He was an unfailingly gracious, kind and considerate manwhodisplayedcharm

-ing old-world European courtesies in

bothhis publicand hisprivate life. He workedimmenselyhard.Hegaveunstint

-inglyofhistimetostudents,colleagues, officials,journalists,politicians,andany otherpeoplewhosoughthisviews.And hefosteredalmostsingle-handedaunique

groupofAsian andAustralianscholars whohavemovedonfromtheirinitialstud

-iesunderhisguidancetospendtherest oftheirprofessionallivesworkingonis

-suesofprosperityandwelfareintheAsia–

Pacificregion.Those ofuswhostudied andworkedcloselywithhim willmiss himimmensely.

HeinzWolfgangArndtwas bornin 1915 in B resla u in Germ any (now WroclawinPoland)wherehespenthis primaryandsecondaryschoolyears.By theearly1930s,lifehadbecomedifficult forpeoplewithaJewishbackgroundin Germany.AlthoughtheArndtfamilywas notpartofthelocalactiveJewishcom

-munity—indeed,Heinz’sparentswere

Around 9o’clockonMondaymorning 6May,HeinzArndtparkedasusualin thefrontoftheNationalCentreforDe

-velopmentStudies(NCDS)atTheAus

-tralian National University. And as usual,hecollectedthemailforhisjour

-nal, Asian–Pacific Economic Literature (APEL),andchattedtohisAPELstafffor afewminutesbeforehurryingoff,ashe sooftendid,toattendtothenextitemof businessoftheday.Hisspecialtaskthat morning,whichhewasverysadabout, wastogiveaeulogyatthefuneralofhis closefriend,SirLeslieMelville,whohad diedafewdaysearlierattheageof100. Heinzleft NCDSataround9.20,plan

-ningtoarriveingoodtimeforthefuneral at10.00am.Butheneverarrived.Driv

-ingacrosstheANUcampus,onFellows Road and withina few metres of the Coombs Building where he had spent much of hisacademiclife, hefailedto takeaturnintheroad,apparentlyhav

-ingsufferedablackoutorcardiacarrest. His car swerved and crashed directly intoalargeunyieldinggumtree.Heinz diedonthespot.

Forscholars ofIndonesianeconomic studiesacrosstheworld,HeinzArndt’s deathattheageof87isagreatloss.He hadbeen,asWorldBankPresidentJames Wolfensohnsaidinastatementissuedas soonasheheardthenews,‘Australia’s leadingscholarofAsianeconomicdevel

-opmentissuesforover30years’.Aman

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Protestants—thepoliticalatmosphereof

thedaycastitsshadowoverthefamily. Hisownvividmemoriesofthetimeare recordedinanautobiographicalessayin

Quadrant(1969).Herecallsthat‘oneaf

-ter the other my class mates at school joinedtheNaziorganisations’,andthat heinturnincreasingly attachedhimself tothesmallgroupofactiveanti-Nazisin

hisclass.Soonafter,hisfatherwasdis

-missed from his chair inchemistry at Breslau University under the ‘Aryan laws’.Thus,in1933theArndtfamilyleft Germany.HeinzmovedtoOxfordwhere he entered Linc oln C ollege. In his colourfulQuadrantarticle,henotesthat during the matriculation ceremony he wasdistressedbyhisinabilitytounder

-standawordofwhattheVice-Chancel

-lorwassaying.Itwasonlylaterthathe discovered that the Vice-Chancellor’s

unintelligible English was really Latin spokenintheoldEnglishpronunciation! HeinzenjoyedhisyearsatOxford.He finallyleftin1938totakeupastudent

-shipattheLondonSchoolofEconomics (LSE).Duringthenextfewyearshetook aninterest insocialist andevenmildly Marxist ideasatLSE,anddevelopeda sympathyforFabianeconomicpolicies thatwouldleadhimduringthe1950sto aninvolvement inLaborParty politics inAustralia.Buthewascured,helater recalled, of any special sympathy for communism after reading Koestler’s

DarknessatNoon,whichconvincedhim thatadherencetocommunistbeliefsis destructiveofintellectualintegrity.

Afterabriefperiodofinternmentin Canadain1940(ontheoutbreakofwar, the UK government interned many people withGerman connections, but gradually realised that people such as theArndtswereunlikelytobesympa

-thetictoHitler!),Heinzacceptedanap

-pointmentatChathamHouse.Thisled totheproductionofhisfirstmajorbook,

TheEconomicLessonsofthe1930s(1944), strongly influenced by the Keynesian doctrinesbecomingdominantinBritain atthattime.Itquicklybecameacontem

-poraryclassic.

Aftertwoyears atChathamHouse, HeinzmovedbrieflytotheUniversityof Manchesterbeforetakingupanappoint

-mentattheUniversityofSydneyin1946. In 1950 the Arndt family moved to Canberra,whereHeinztookupthechair ineconomicsattheCanberraUniversity College,latertobecomepartofTheAus

-tralian National University. Hejoined theLaborPartyandspentmuchofhis timeinthe1950sworkingon issuesof publicpolicyinAustralia.

Duringthe1950s,however,Heinzcon

-tinuedtofollowoverseasdebatesonin

-ternationaleconomicissues.Hebecame increasingly interestedintheeconomic problemsofgrowthanddevelopmentin Asia,asoneofhisstudents,PeterDrake, recalls.

Heinz’searlyacademicworkwasin thefieldsofinternational economics, monetaryandfiscalpolicies,banking and thecapital market. (Indeedmy own association with him began when,asaneconomicsstudentatThe UniversityofMelbourne,Iwrotetohim in1961foradviceaboutpreparingmy honoursthesisonthenewshort-term

moneymarketinAustralia.Myrequest drew an immediate response and a thickenvelopeofArndtpapers!)How

-ever,Heinz’sinterestseventhenwere turningtowardseconomicgrowthand development.Tosomeextentthiswas stimulated by working on issues of Australiantradeandoverseasaid,but perhapsmoreimportantlybyhiscon

-tactswithprominenteconomistsinthe fieldofeconomicdevelopment.Among thefirst ofthese was theinfluential

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Swede,GunnarMyrdal,whomHeinz fortuitously met on anaeroplane in 1953.Heinz’sinterestindevelopment burgeonedfurtherinthecourseofa sabbaticalatTheUniversityofSouth Carolina.Itwasduringhissix-month

sojourntherethatHeinzwrotetwoof hisseminalarticles,‘ASuggestionfor Simplifying the Theory of Interna

-tionalCapitalMovements’(1954)and ‘External Economies in Economic Growth’(1955).

Back in Canberra, Heinzbeganto teach a course indevelopment eco

-nomics, using the fine monographs and texts by Lewis, Myint, Higgins and Meier andBaldwin. Eagerthen ‘to learn somethingabout economic development in real life’, Heinz re

-sponded positively to an invitation fromProfessorMahalanobistospend threemonthsin1958–59firstasVisit

-ingProfessorattheIndianStatistical InstituteinCalcuttaandsubsequently atthePlanningCommissioninDelhi. In India, as well as working at his usualfastpace,Heinztravelledwidely andwas‘powerfully affectedbythe emotional experience of learning about theabysmal poverty of hun

-dredsofmillionsofhumanbeings’(A CoursethroughLife,1985).

In 1960–61, another opportunity

arose forHeinztoworkondevelop

-ment themes at theUnited Nations Commission for Europe inGeneva. Among those themes were ‘why growthratesdiffer’and‘tradeprefer

-encesfordevelopingcountries’,both hotsubjectsatthetime.Heinzwasat

-tractedtoGenevaandtheworkthere; atthesametimehewasexperiencing disenchantmentwiththeobligationto teachmonetaryandmacroeconomics back in Canberrain the increasingly mathematicalstylethatthedegreemar

-ketdemanded.Perhapshewouldhave

madealastingmovetoGenevahadnot Sir John Crawford, director of the ANU’sResearchSchoolofPacificStud

-ies,inlate1963arrangedforhimtotake overtheheadshipofthe School’sin

-fant Departmentof Economics. The missionofthedepartmentwastostudy ‘underdevelopedandprimitiveecono

-mies,withemphasison thebuilding upofasystematicempiricalknowledge ofthePacificandSouthEastAsia’.(I cantestifytotheempiricalemphasis. Inmyinductioninterviewinearly1963, Crawford told me, in no uncertain terms,thathewouldtolerate‘nohigh

-falutingtheoretical nonsense’from a graduatestudent!).

Crawfordhadinitiatedsubstantial researchprograms on Malaysiaand Papua New Guinea to begin the department’swork;butforHeinz,In

-donesiahadthemorecompellingat

-tractionsofbeingimportant,difficult andrisky.Itmayfairlybeclaimedthat 1964–66wasthenadiroftheIndone

-sianeconomy.Heinz’sapproachwas to devote substantial resources to studyingit.Researchfellowsanddoc

-toralstudentswererecruited;relation

-ships with Indonesian institutions and with interested American aca

-demicswereestablished;andapubli

-cations program was introduced. Theseinitiativesquicklymaturedfor

-mallyintotheANUIndonesiaProject andtheBIES.

Beyond Indonesia, Heinz tookan Asia-wideview.Hepromotedlinks

amongAsianandAustralianecono

-mists,bringingtheonetoundertake researchandstudyinAustralia,and sendingtheothertoliveandworkin Asia.Between1981and1990,hewas co-chairmanoftheASEAN–Australia

Joint Research Project, which pro

-ducedaremarkablenumberoforigi

-nalresearchmonographsandarticles

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ontheASEANeconomies,andbuilt an enduringnetwork of Australian andAsianscholars.

For students of Indonesian economic studies,Heinz’sdecisiontoestablishthe IndonesiaProjectattheANUinthemid 1960sreflectedbothremarkableforesight and,observesJamieMackie,somegood luck.

WhenHeinzlaunchedtheIndonesia Projectandthe BIESin1964–65,the

likelihoodthateitherwouldsucceed appearedbleakintheextreme.Hemen

-tions inA Course through Life(1985) that‘almosteveryoneIconsultedad

-visedagainsttheeffort’.(Ican’tremem

-ber whether I was one of those; I certainlywouldhavedonesoifcon

-sulted,havingkeptaclosewatchon economicdevelopments inIndonesia over the previous eight years.)One compellingreasonforsuchscepticism wastheutterlychaoticstateoftheIn

-donesianeconomyatthattime,with cripplingshortageseverywhere,infla

-tionspirallingfrom100%p.a.in1963 towards300%in1965,andtheresult

-antbreakdownsininfrastructure pa

-ralysingeconomicactivityatalllevels. Notlongbefore,whenIwaswriting oneoftheonlyeconomicsurveysof IndonesiainEnglishforalmost five years,Ihadfoundthatthescarcityof reliablestatisticsmadeanalysisofIn

-donesianeconomictrendsalmostim

-possible. I could not imagine how anythingmorethananoccasionalar

-ticle of any value could be written aboutitunderprevailingconditions. Anotherobstaclewasthesuperheated politicalclimateofSukarno’s‘Sosial

-isme à la Indonesia’, which was clearlybuildinguptowardsanational crisis, puttinganythoughtofpolicy continuity or worthwhile economic analysisoutofthequestion.Beyond that was the near-impossibility in

thosedaysofrecruitinganyofthefew well-trainedIndonesianeconomists—

apartfrom DrPanglaykimwhowas enticedtoCanberrabetween1966and 1969—oroffindingAustraliansoroth

-erswithmorethanrudimentaryfirst

-handexperienceofIndonesiaandits problems.ButHeinzwentahead,and bydintofsheeraudaciousness (Steve Grenville’sword),perseverance and persuasiveness, hepulleditoff.

Hewasluckyinhistiming.Onlytwo issuesoftheBIESwerepublishedbe

-foretheGestapucoupattempttrans

-formedthepoliticalscenein1965.(The second issue in October1965 had a last-minutesentenceortwoaboutthe

coupbutmadenorealcommentonit.) By1967 the economic situation had beguntoimprovemarkedly.Theslow returnofsanitytogovernmentdeci

-sionmakingafterSoehartotookover, and the gradual shifts in economic policy,providedscopeforworthwhile analysisofdevelopments.(Heinzhim

-selfdidnotwriteaBIESSurveyofRe

-centDevelopmentsuntilOctober1966, when he collaborated with Pang

-laykim.)IfSukarno’soverthrowhad notoccurredforanotherthreeyears,I wonder whethereven Heinz could havekepttheBIESgoingasaworth

-whileventure.Ithadonlyafewsub

-stantial articles in the first eight issues—Lance Castles’s often-cited

pieceon‘SocialismandPrivateEnter

-prise’, AlexHunter’s variouscontri

-butions on the oilindustry, Heinz’s articleon‘BankinginHyperinflation’, andDavidPenny’spioneeringpieces onvariousaspectsofagricultural so

-cietiesandpoverty.By1968theBIES

wasbeginningtoproveitsworth,with solid ly informative Surveys; and withinafewyearsitwaspublishing animpressivearrayofanalyticalar

-ticles. But the early years were a struggle.

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Heinz managed almost miracu

-lously to bring together a workable nucleusofpeoplewithpriorknowl

-edgeofIndonesia.InadditiontoDavid PennyandPanglaykim, heinvolved KenThomas,IngridPalmer,Shamser Ali and Dahlan Thalib in the early work of theIndonesia Project. Alex Hunter soon made himself knowl

-edgeableabout theoilindustryand mineralsgenerally.JoyceGibsonwrote someusefulpiecesonvarioustopics. Thepresentfinanceminister,Boedi

-ono, became a research assistant to Heinzin1970.Butallthesemovedon in due course, except David Penny who remained until well into the 1970s beforemovingtothe national DepartmentofAboriginalAffairs.The next and more enduring wave of ProjectstaffconsistedofHeinz(who wrotemostoftheBIESsurveysinthe years immediately after 1967), Sun

-drum, Penny, Fred Fisk and Ruth Daroesman,whoallhelpedtogivethe Projectgreatermomentuminthe1970s. YetHeinzwasofcentralimportance tothewholeventure.Withouthislead

-ership skills the Indonesia Project wouldneverhavegotofftheground atall.

Bytheearly1970s,Heinzhadrecruited anumberofyoungpostgraduate schol

-arstoworkonvariousaspectsoftheIn

-donesianeconomy.OneofthemwasAnne Booth.

IfirstmetHeinzatCanberraairportin June 1971. I had arrived back from Londontobecomearesearchstudent intheResearchSchoolofPacificStud

-ies(as itthenwas).I thoughtat the time(andthethoughtwastostrikeme againonmanyoccasionsinAustralia andSoutheastAsiaoverthenextthree decades) that there was little in Heinz’smanners,speech,orstyleof

dresstosuggestthathehadeverspent even a week in Australia, let alone most ofhisworkinglife.Duringhis yearsinEnglandhehadperfecteda styleof spoken andwritten English thatwouldsoundunfashionably pa

-tricianintoday’sBlairiteBritain,but whichservedHeinzremarkablywell throughouthisworkinglife.

Hewasamemberofthatvastdia

-sporaofcultured centralEuropeans whomHitlerforcedtoemigrate.Isup

-posepartofHeinzcontinuedtoyearn forEuropelongafterhehadsettledin AustraliaandmadethestudyofAsia, and especially Indonesia, the main focusof hisprofessional life.Buthe was a trueinternationalist—cosmo

-politan in outlook, sceptical of all forms of nationalism, and always readytotakeastandagainstxenopho

-bia.Overtheyears,histirelessefforts topromoteIndonesianeconomicstud

-iespaidhandsomedividends.Inevi

-tably,inthe processheantagonised someinAustraliawho,forwhatever reason,preferredtodemonisetheSoe

-hartoregimeand wereunwilling to recogniseitsachievements aswellas itsfailures.

Itwas whollydue to HeinzthatI became interested in Indonesia and decidedtocarryoutfieldworkthere formyPhD.Intheearly1970slifein Indonesia, even in the larger cities, couldbedifficult.Irememberarriving in Surabaya in late 1972 when the droughthadledtoanalmostcomplete breakdownoftheelectricity system. Evenafanwasimpossibletooperate. AfteraweekofswelteringheatIfled toMalang!ButthefieldresearchHeinz hadurgedonmeturnedouttobequite absorbing.Hisownenthusiasmwas infectious.Asasupervisorhewasal

-waysreadytoprovidedetailedcom

-mentsondraftsofwork.Evenwhen ouropinionsdiverged,hewasremark

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ablypatientwithmyattimescallow arguments.Hisownresearchwascon

-cerned mainlywith macroeconomic and monetary economics and was largelyJakarta-based.Butherelished

opportunities totraveltootherparts ofthecountry.Hevisitedmanyuni

-versitiesinJava andelsewhereover the1970sand1980s.

Inthe1990s,hisvisitstoIndonesia becamelessfrequent.Likemanyoth

-ers,hefoundtheeventsofthefinan

-cialcrisis in late1997and1998both surprisingandextremelyshocking.He was,Ithink,especiallydistressedat thevulnerablepositionthatmanyIn

-donesiansofChinesedescentfound themselvesin,nodoubtdrawingpar

-allels with his own experience in Germany inthe early 1930s.But he continued to follow developments closely.Hiscontributionstothestudy ofIndonesiawillcontinuetobevalu

-ableforscholarsbothinAustraliaand elsewhere.

Bythemid1970s,theIndonesiaProject hadbecomewellestablished.Heinzhad attractedmoreyoungscholars,suchas Howard Dick, Stephen Grenville and PhyllisRosendale,totheProject.Another atthattimewasHalHill,wholaterbe

-cameHeadoftheIndonesiaProjectand theH.W.ArndtProfessorofEconomics attheANU.

Foryounggraduatestudents,Heinz wasaformidablefigure.Wehadall encountered himasundergraduates throughhisbooksandarticlesandhis well-knownpoliticalactivities. Ifirst

methimintheearly1970satMonash University, andmentionedmyinter

-est in Indonesia and graduateeco

-nomicstraining.Ialsomentionedthat Iwasthinkingofapplyingforplaces likeOxfordandCornell.‘Whatdoyou

want to go to those places for!’ he snorted.‘Whenyou’rereadytodoa PhD,letmeknow,andI’llgetyoua scholarship inmydepartment.’ True tohisword,whenIcontactedhima coupleofyearslater,anofferofaschol

-arshipdulyarrived.

Heinzwasatrulyremarkablesuper

-visor.AlmosteverythingIwrotewas returnedwithin48hours.Therewas a standard formatto his responses: typed comments, first general then specific comments,andusuallysev

-eral pages of detailed views. We quicklycametorecognisehisstyle.(So didothers:yearslater,whenIwased

-itingtheBIES,IaskedHeinztoreferee asubmission. Hewasunhappywith it,andletflyinhiscomments.With

-outthinkingIpassedthemontothe author,whorepliedthankingmefor the‘commentsofyouranonymousref

-eree,HeinzArndt’!)

Asastudent,IlikedthewayHeinz approachedhisworkonIndonesia.I thinkheimpartedthisstyletoallof us.Hestressedtheimportanceofboth goodanalyticaleconomicsandtaking countriesseriously.Onewithoutthe otherwouldn’twork,heemphasised. Healwayshadaremarkableknackof hominginonthebigissues,evenfor topicsaboutwhichheknewlittle.He wasawonderful‘intuitiveeconomist’, too.Hegenerallyeschewedrigorous modelling, and was sceptical about statistical techniques. (Thereweren’t manyRsquaredsinhis16yearsatthe helmofBIES.Andtheywerepositively banned from the Surveys!) But his analytics were unerringly accurate, nonetheless.

Heinz held firm opinions, and as students we hesitated to disagree stronglywithhim.Buthewasnotin

-tolerant.Youhadtobequick-witted,

forceful and articulate to engage in

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argument,buthe waswillingto lis

-ten.Justoccasionally youcouldper

-suadehimtochangehismind.Later,I kept inclose contact withhim after graduation.Hecontinuedtoreadand commentonpractically everythingI wrote,eventhoughIwouldstressthat I didn’t expect comments. ‘I’m ad

-dictedtoreadingpapers’,heoncetold me.Idon’tthinkIhaveencountered anybodyelseinacademiawhois as generousasHeinzinthisrespect.

Heinzwasinstrumental ingetting meatwo-yearteachingpositionatthe

UniversityofthePhilippines.Wealso worked closely together for several yearsontheASEAN–AustraliaJoint

Research Project. These and other endeavoursmademerealisethathe was amajorinternational figure not justinIndonesiabutinSoutheastAsia andbeyond.Yetevenwhenheven

-turedfurtherafield,totheUS,Europe and Japan,Indonesiaremainedcen

-tral.Ithinkheregardeditashisduty to informpeopleabout thecountry, andtogetabalancedunderstanding ofthedevelopmentrecordunderSoe

-harto. He concededthat the human rightsrecordwasnotgood,andthat Timorwasatragedy,buthefeltthat thebroad-basedimprovementsinliv

-ing standards were never accorded sufficientattentionbycriticsofthere

-gime.WhileHeinz’spoliticalopinions becamemoreconservativeinhislater years,obscuringtheradicalismofhis youthfromyoungercritics,hedeserves creditforemployingorteachingvari

-ousIndonesiascholars,mostnotably DavidPenny,andtosomeextentPe

-terMcCawleyandAnneBooth,whose viewsontheSoehartoregimediffered fromhis.

HeinzArndtsawhismajorrolein establishing theIndonesiaProjectas overseeing thedevelopment ofare

-search unit and journal of interna

-tionalrepute.Hethereforespentmuch ofhistimeeditingtheBIES,encourag

-ingotherstowriteforit,andsupervis

-ingPhD students (and, in addition, sometimes practically writing other people’s papers for them: he once quippedthathewastemptedtoput allthesetogetherinavolumeentitled

OtherPeople’sCollectedEssays!).Not

-withstanding exceptionally heavy administrative responsibilities, he publishedextensively ontheIndone

-sianeconomy.BetweenJune1966and August1983,hewrotenofewerthan 20BIESSurveys;untilthelate1970s, heauthoredalmosthalfofthem.More

-over,hewroteauthoritativepaperson aremarkablydiversearrayoftopics: inflation, banking and monetary policy, unemployment and wage policy,transmigration, regionalprice variations,developmentandequality, theoilboom,civilservicecompensa

-tionandcorruption,developmentas

-sistance, Indonesia in the world economy,andmuchelse.Manyofhis keypaperswerepublishedintheBIES

(andlaterbroughttogetherinTheIn -donesianEconomy,1984).Heinzcould havesoughtinternational outletsfor them,intheprocessfurtherenhanc

-inghisreputationabroad.However, heunselfishly took theview—as he

hadalso wheneditingTheEconomic Recordadecadeandmoreearlier—that

seniorstaffhadanobligationtonur

-tureanewjournalbypublishingtheir majorpapersinit.

TheIndonesiaProjectfacedsomethingof a crisis at the end of1980 when Heinz ArndtretiredfromhispositionasHead bothoftheDepartmentofEconomicsin theResearchSchoolofPacificStudiesand oftheIndonesia Project.TheeKianWie, whoacceptedapositionasVisitingFel

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lowtotheProjectshortlyafterwards,re

-callshowHeinzcontinuedhisacademic workduringthe1980s,andamongother thingslaunched asecondmajorjournal onAsianeconomicaffairs.

Toadapttheoft-quotedstatementthat

‘oldsoldiersneverdie,theyonlyfade away’,Heinzshowedthat‘old pro

-fessorsneverretire,theyjustkeepon writing’,bycontinuingtoproducean impressivenumberofbooksandpa

-persafterhisretirement,includinghis perceptiveintellectualautobiography

A Course throughLife(1985)and his bookEconomicDevelopment:TheHis -tory of an Idea (1987). A few years earlier,inTheIndonesianEconomy:Col -lected Papers (1984), he republished mostofhisSurveysandpapersthat had appeared in BIES. This book turnedouttobeasourceofinvalu

-able insights for thechapter on the Soehartoeraandthecrisisyearsthat IwroteforabookonIndonesia’smod

-erneconomic historytogether with HowardDick,VincentHoubenand Thomas Lindblad. Heinz’s prodi

-gious scholarship was further re

-flected in the publication of three otherbooks,50YearsofDevelopment Studies (1993),which contained his papers written during the period 1942–93onvariousissuesrelatingto

economicdevelopment,EssaysinIn -terna tional Econom ics, 1944–1994

(1996),and TheImportanceofMoney: Essays in Domestic Macroeconomics, 1949–1999 (2001).

InMarch1986HeinzvisitedJakarta and asked me to becomethe corre

-spondingeditorforIndonesiaofanew journal,Asian–PacificEconomicLitera -ture,thathehadjuststarted.Theaim wasto help academics,government officials,andbusinesspeople tokeep abreastoftheburgeoningeconomic

developmentsintheregion.Hisedito

-rialskillmadeHeinzindispensableas editorofAPEL.

Over theyears Igreatly benefited fromthestreamofpapersHeinzsent me.Mostofthemdealtwitheconomic issues,butsomecontainedtheremi

-niscencesofhisrelatives.Thesewere strikingvignettesoftheJewishupper middleclassinGermanywhichhad beentragicallywipedoutduringthe Holocaust.Formypart,Istartedsend

-ingHeinzdraftsofmypapers.Heusu

-allyreturnedtheseinrecordtimewith constructivecomments,includingcor

-rections of my English. While our friendshipovertheyearsdeepened, after theearly 1990sHeinzgrewin

-creasingly critical of my papers. He thoughttheyweretoohardonthecor

-rupt and repressive New Order re

-gime.Inhiscommentsononepaper thatIwroteongovernment–business

relationshipsundertheNewOrder,he said:‘Ifyoucontinuewritinginthis way,youarelikelytoloseyouraudi

-ence’. But thesestern remarks were expressedruefullyratherangrily,re

-flectingHeinz’sconcernthatIwaslos

-ingmyacademicobjectivity.

AfterhiswifeRuthpassedawayin March2001,Heinzbegantoponderthe possibilityofmakingasentimentaltour ofASEANcountries.Hedecidedtovisit Indonesiafirst,andinFebruary2002 hewasabletoseeoldfriendssuchas Sadli, Widjojo, Emil Salim, Radius Prawiro,J.B.Sumarlin,ArifinSiregar, Boediono,AnwarNasution,SeloSoe

-mardjan,Wiryono,ChrisandTriMan

-ning,andMrsEviePanglaykimwhom hewasdelightedtomeetaftersomany years.Despitehisphysicalfrailty,he wasintellectuallyassharpasever.He wrotecopiousnotesforhisdiaryabout thepeoplehehadmet.Althoughmy wifeTjoeandIaredeeplysaddenedby

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Heinz’sunexpecteddeath,wearevery gratefulthatheenjoyedhislastvisitto Indonesiasomuch.

Bytheearly1980s,staffoftheProjectin Canberrawereincreasinglykeentofind waysofinvolvingmoreoftheirIndone

-siancolleaguesinProjectactivities.Mari Pangestusupportedthisnewemphasis.

Ireallydidnotbecomeinvolvedinthe ProjectandBIESuntilthemid1980s, after ProfessorHeinzArndthad re

-tired.Howeverhisinputwasstillvery evident in the1980s.Itis acreditto someoneasstrongmindedasHeinz thathewasabletoletgooftheProject thathehadnurturedfor18years.There was a difficult period after he left whenthereweresomeinthedepart

-ment who weresceptical about the prioritybeinggiventoworkonIndo

-nesia,andIrecallmanyworriedcon

-versationsaboutthefateoftheProject. Thosedifficultyearspassed,andun

-derthestewardshipofanumberofhis formerstudents,PeterMcCawleyand AnneBoothinthe1980s,andHalHill inthe1990s,theBIESandtheProject continued to grow and develop in keepingwiththetimes.

Amajorchangeinthemid1980swas theconsciousefforttoseeknewcon

-tributors, especially Indonesians, to writeforthejournal.Previously,allthe SurveysbyIndonesianswerewritten byauthorssuchasPanglaykim,Boedi

-ono and Dahlan Thalib who were directly involved with the Project. Beginninginthemid1980s, otherIn

-donesianscholarswereinvitedtopre

-pare the Surveys, beginning with AnwarNasutionin1985.

Ididmyownfirst‘SurveyofRecent Developments’in1987,22yearsaf

-ter my father, thelate Panglaykim, wrotehisfirstSurvey.Theguidelines andrequisitevisitstoprepareforthe

Survey w ere clearly a legacy of Heinz’swork.Ibecameawareofthe supportfortheBIESinIndonesia,and ofcourseforthemanwhostartedit all,whenIquicklyfoundthatitwas notatalldifficulttogetappointments fromthelistofregularcontacts.The experiencewasinvaluable. Asa re

-centgraduate,Ifoundthatwritingthe Surveyforcedmetolookatabroad rangeofissuesandtothinkthrough thepolicyimplications ofwhatIwas saying. The process of writing the Surveywasalso avaluabletraining experience. I spent two intensive weeksintheeconomicsdepartment inCanberra,writing and rewriting, and interacting with others in the department.Heinzwasstillveryac

-tiveatthetime,andprovidednumer

-ouscommentsonmyfirstdrafts. Another important development duringthisperiodwastheattention giventotheregionaleconomicsur

-veys. Inthe 1960s and early 1970s, recognisingthevalueofhavingper

-spectivesfromoutsideJakarta,Heinz commissioned many regional sur

-veys,fromHendraEsmaraandMaka

-liweatHasanuddinUniversity,Ace PartadirejaandMubyartoatGadjah MadaUniversity, andvariousother contributors. In the mid 1980s Hal Hillexploredthepossibilityofextend

-ingthispioneeringwork.Theresult wasasetofpaperswrittencollabora

-tivelybyIndonesianandAustralian authors.Imyselfwrotethesurveyon EastKalimantan.This wasanother invaluable experience. The confer

-ence in Canberra in February 1987 where the writers presented their paperswasmemorable, andHeinz an active participant. The papers were edited by Hal Hill and pub

-lishedasUnityinDiversity(Oxford UniversityPress,1989).

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ItisagreattributetoHeinzthatthe IndonesiaProjectcontinuedtoflour

-ish after his retirement. He built a strongfoundation, andtrainedmany scholarswhocouldcarryonthework, eachleavinghisorherownmarkon thefieldofIndonesianstudies.

FromthebeginningofhisworkinIndo

-nesiain1964tohislastvisitinFebruary 2002,Heinzkeptinclosetouchwithhis friendMohammadSadli.Hegreatlyad

-miredProfessorSadli’senormous con

-tribution to public policy debates in Indonesiaoveraperiodoffourdecades sincetheearly1960s.Ofthegroupofse

-niorIndonesianeconomistswho knew HeinzArndt,MohammadSadliisperhaps themostwellplacedtocommentonhow hisoverallcontribution isseeninIndo

-nesia.

ProfessorArndtcame from a Euro

-peanintellectual backgroundbefore WorldWarII.Atonetimehewassym

-pathetictoMarxianphilosophies,but later when studying in England he leanedmoretoFabianreformistideas. Inhislater yearsinAustraliahebe

-camemorelibertarian. Perhaps,hav

-ing formed his views against this variedbackground,hemaintainedhis beliefthatgovernments andpolicies matter,eventhoughhewasawarethat ‘governmentscouldfailalso’,justas marketscould andsometimesmore often.

WhenHeinzestablished the Indo

-nesiaProject attheANUinthemid 1960s,hebecameacquaintedduring hisfrequenttravelswiththegroupof Indonesianeconomistswhohadbeen influencedbyProfessorSumitroDjojo

-hadikusumo, himselfaproductofa WesternEuropean(i.e.Dutch)intellec

-tual tradition. In the early 1950s, SumitrohadestablishedthenewFac

-ultyofEconomicsattheUniversityof

IndonesiainJakarta.Hisdisciplesin thenewlyformedeconomicsfaculty wereinfluencedbyhisviewthatthe economicsprofessioncanplayanim

-portantroleinguidingtheeconomic development ofanation,thattherole ofthestateandgovernmentshouldbe strong,andthattheguidingprinciples should beeconomicrationality, eco

-nomicgrowthanddevelopment. WhenHeinzfirstcametoIndonesia in1964, Sumitrohadleft,havingex

-iledhimselfin1957fromtheregimeof PresidentSukarno.Sumitrowascalled backbySoehartoin1968.ButWidjojo andhisgroupofyoungfellowecono

-mistswerealreadyhome,havingun

-dertakenPhDstudiesintheUSunder a program conceived bySumitro to buildupthestaffintheFacultyofEco

-nomicsthroughanaffiliationwiththe UniversityofCaliforniaatBerkeley.

HencewhenHeinzmadehisfirstre

-connaissance intoJakartain1964,he found a young group of university economistsinspiredtomakeeconomic development their lifelong profes

-sionalmission.Buttheywerestillen

-gagedinanuphillfighttoameliorate themoretraditionalsocialistandrevo

-lutionary inclinations of President Sukarno. Sukarno’s economics was ‘wishfulthinkingeconomics’—much

morepoliticsandideologythaneco

-nomics.WhenSukarnowassucceeded by Soeharto, the latter immediately turnedtotheWidjojogroupforideas abouttheeconomicreconstruction of thecountry.Theneweconomicpoli

-ciesweremuchmoremarketfriendly than previouspolicies, althoughthe roleofthegovernment,andofstateen

-terprises andlarge agenciessuchas Bulog(thefoodlogisticsagency)was stillconsideredimportant.

The young economists working with Soeharto’s new government greatly welcomed foreign support.

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ApartfromlookingforaidfromWest

-erngovernments andJapan,theybe

-friended Professors Jan Tinbergen fromHolland,SaburoOkitafromJa

-pan,andHeinzArndtfromAustralia. FromtheUnitedStates,ofcourse,there weremorepeopletodrawon,suchas ProfessorLeonMearsandProfessor BruceGlassburner (whomaintained an especially close connection with HeinzandtheIndonesiaProject),and DrBernardBelloftheWorldBank,but Tinbergen, Okitaand Arndtallhad goodlinksintotheirowngovernments. LikeSumitro,Heinzwasthepatron ofanewareaofscholarship. Heen

-couragedyoungereconomiststoenter thefield.Hencetheredevelopedasort ofspiritualtiebetweenagroupofIn

-donesianeconomistsand theirAus

-traliancounterparts,mostlytrainedin Canberra. This intellectual–spiritual

and international support was very important as an additional‘comfort blanket’forIndonesianeconomistsin thefrontlineofthebattleagainstpopu

-list, irrational, inefficient and often ineffectiveeconomicpolicies.

Yet if I wereasked to answer the question‘WhatwasHeinz’sownspe

-cificroleinthisrespect?’,Iwouldfind itdifficulttoanswer.Ratherthanmak

-ingaspecificcontribution,hewasthe deanofthegroupofAustralianecono

-mistswhowere,andstillare,partof our comfort blanket system. In late 1998ourANUfriendsinvitedagroup ofIndonesianeconomiststoCanberra todiscussproblemsofeconomicpolicy andrecent developments inrelation to the 1997–98 economic crisis. This

meeting was laterreplicated by the JapaneseandtheAmericans.

The BIESandAPELareimportant researchpublicationsreadbyIndone

-sianeconomistsandpolicymakersas aninputtopolicydiscussion.Because of language problems, and because

Indonesiansarenotalwaysavidread

-ers, these two journals are not as widelyreadinIndonesiaastheymight be.Buteveniftheyinfluenceonlya handfulofIndonesianpolicymakers, facultymembers,opinionmakersand writersoneconomicaffairs,thesepub

-licationsareworthwhile.Inacountry likeIndonesia,theinfluenceofindi

-vidualsandsmallgroupsonthebear

-ingsofthenationcanbeverygreat. ThearticlesintheBIES,andespecially theperiodic economic Surveys,are veryusefulsummariesthatareread bymembersofthe‘liberalepistemic society’,thatis, outsidethe govern

-ment.Top-levelgovernmenteconomic

staffalsohaveaccesstoWorld Bank papers,whicharemoredirectlypolicy oriented, and greatly influenced by

BIESmaterial.

WesternscholarslikeHeinzArndt facesomethingofa moraldilemma whendealingwithacountrysuchas Indonesia was in the Soeharto era. Duringthatperiod,itwasnotademo

-cratic regime in the Western sense withanemphasisonhumanandin

-dividualrights,controlsonauthori

-tarian abuses, and so on. Should Western scholars still support the nationaldevelopment ofsuchacoun

-try? ProfessorTinbergen from Hol

-land became ambivalent after his initialendorsement.ButHeinzcon

-tinuedtosupporttheworkofIndo

-nesianeconomistswithinSoeharto’s Indonesiabecausehesupportedthe developmentprocess.Intheend,by the mid 1990s he saw much more prosperityinIndonesiathanduring hisfirstvisitin1963.Hetooktheview thatthewelfareofthecommonpeople should always be paramount, that theregimetheylivedunderwasnot necessarily oneof their ownchoos

-ing,thatdevelopmentwouldgradu

-allyadvancetheprogressofhuman

(13)

rightsand therule oflaw, and that the educ ated and pr o fessional classeswouldalsodemand(andget) thesegoodthings.

AlthoughHeinz Arndtwas anecono

-mistandplacedgreatemphasisonthe importance of economic ideas, he ac

-cepted(admittedly withacertainreluc

-tanceattimes!)thatthegovernanceof nationsdependsonalotmorethaneco

-nomicsalone.Hevalued theviews of his ANU colleagues from such disci

-plinesaspolitical science, history, an

-thropology and demography about Indonesian issues, and he especially welcomedvisitorsfromIndonesiaand elsewherewhowerespecialists inthese andothersubjects.BillLiddlefromOhio StateUniversityintheUS is onesuch scholarwhocametoknow Heinzwell onvariousvisitstoAustralia.

IfirstmetHeinzArndtin1980,near theendof hiscareer, whenIwasa researchfellowintheDepartmentof Political and Social Change at the ANU.Iwarmedtohimimmediately. Hewasgracious,deeplyknowledge

-ableabouttheIndonesianeconomy, andwillingtosharehiswisdomwith an economically illiterate political scientist.Heremindedmestronglyof othercourtlyandcharismatic Euro

-pean refugee intellec tuals I had known:HarryBenda,theSoutheast Asiahistorian,whohadbeenmyown dissertationadviser;IsaiahBerlin,the gr eat polit ical philo so pher; and AlbertHirschman,aneconomistlike Heinz but on the other side of the greatdivideamongeconomistsonthe roleofthestateindevelopment.

HeinztaughtmethatIndonesianists comeinallshapesandsizes,notjust thestandardissueproducedbySouth

-eastAsiastudiesprogramsthatrequire extensive language and multi-disci

-plinary training. Before arriving in

Canberra,Ihadbeenwarned—mostly

byIndonesianists trainedlikemyself inareaprograms—thatHeinzdidnot

knowmuchaboutIndonesiabeyond itseconomy.Thatwasindeedmyex

-perience.Ononeoccasionhestartled mebyaskingmetoexplainareference to Takdir Alisyahbana, Indonesia’s mostcelebratednovelistandessayist. In this instance,what surprised me mostwasthatTakdirandHeinzwere kindredsouls,childrenoftheEnlight

-enmentandprotagonistsofIndonesian modernisation.Ifhedidn’tknowmuch elseaboutIndonesia,atleastheshould havebeenfamiliarwithitsmostpromi

-nentlike-mindedintellectuals!About

mysubject,Indonesianpolitics,hewas onlycasuallycurious.Ithinkthiswas becausehebelieved thattheWidjojo team ofprofessional economistsand policyadvisershadalreadymastered themostimportantsecretofIndonesian politics.Incrises,theywentstraightto PresidentSoeharto,whomadeallofthe keydecisions.

Despitehissingularperspective, or perhapsbecauseofit—Ireallydon’t

knowwhichistrue—Heinz’scontri

-bution toIndonesianstudies andto thedevelopmentofmodernIndonesia wasandcontinuestobeenormous.I seethatcontribution mostdirectlyin thepagesoftheBIES:inthearticles writtendirectlybyHeinzandinthose byhisstudentsandbyothersinspired byhisvision.InIndonesia,theimpact oftheBIES,andofHeinz’sleadership, hasbeenvastlytoexpandwhatpoliti

-calscientist Rizal Mallarangeng has labelledthe‘liberalepistemiccommu

-nity’,thatis,thosemembersofIndo

-nesian so cie ty—schola rs, po licy

makers,journalists,theeducatedpub

-lic—whounderstandandappreciate

modern economics and economic policy. Some ofthem read the BIES

avidly.Manymoreareinfluencedby

(14)

itatsecondhand,throughtheanaly

-sesofIndonesianeconomistswriting in the leading Jakarta dailies and newsweeklies,likeKompasandTempo. IfthenewdemocraticIndonesiasuc

-ceedsingettingbackonthedevelop

-ment track pioneered by Soeharto’s authoritarianNewOrder,itwillbedue innosmallmeasuretotheinfluenceof today’smembersoftheliberalepistemic community.Tothebuildingandmain

-tenance of that community, Heinz Arndt unquestionably contributed morethananyothernon-Indonesian.

ItisalegacyofwhichanyIndonesianist wouldbeextremelyproud.

HeinzArndtwas,aboveall,anacademic, bothbyinclination andbytraining.But healsohadagreatadmirationforpolicy makers.Onesuspects,perhaps,thathe believedthathisownskillslaymorein contributing tothepublicpolicydebate thaninengagingintheday-to-dayrough

andtumbleofgovernmentadministra

-tionthatisaninevitablepartoftheimple

-mentationofeconomicpolicy.Healways tookpleasure,however,inseeingoneof hisstudentsorcolleaguesappointedto aseniorpositioningovernment.Hewas delightedwhenBoediono,aformerstaff member of the Indonesia Project, was appointedfinanceministerinIndonesia in2000.InhisowntributetoHeinzArndt inJakartainlateMay,Boedionorecalled somehighlightsofhisassociation with Heinz.

ItwasacoldmorninginJuly1970when theplanethatcarriedmyfamily,then consistingofmywife,mybabydaugh

-terandmyself,landedinCanberra.I wasarrivingtotakeuparesearchas

-sistantship at the ANU’s Indonesia Project. As we entered the terminal, Heinzwastherewaitingforus.

Hetookustohishomeinhislight blueCortina.Weweretreatedtoawel

-come hot breakfast that Heinz pre

-paredbeforehetookustoauniversity flatonCanberraAvenuethathehad previouslysecuredforus.Aftershow

-ingusaroundhelitafireinthefire

-placeusingcoalbriquettesthathehad bought earlier. Hethen left, but re

-turnedshortlyafterwithabagofgro

-ceries.MywifeandIneverforgotthis earlyencounterwithHeinz.Hedidall ofthisforuswhenhewasafamous professorandIalowlyresearchassis

-tant.Suchisthemanthatwepaytrib

-utetotoday.

Inevertookacoursewithhim,nor didIdomythesisunderhissupervi

-sion.Nevertheless,Iconsiderhimmy teacherbothaboutmyprofessionand aboutlife.Hemusthavefeltthesame way.Ina letterthankingmefor my contribution tothe 1985special edi

-tionoftheBIESthathonouredhim,he acknowledged thisbond,sayingthat atsomestagehemusthavecontrib

-utedtomakingmeaneconomist. Heinz’swritingsonIndonesiaand development influencedmedirectly and indirectly. He influenced my thinkingabouttheproblemsfacingthe country,abouttheroleofeconomics in thesolutions, and about how an economistshoulddefinehisorherrole inpubliclife.

Someofus,includingmyself,were fortunatetohavebeendirectlyinflu

-encedbyhimthroughpersonalcon

-tact. ButI suspect that the majority wereinfluencedbywhathewrote.His writingwas adelight.Inhis hands, abstracteconomicconceptscamealive, asrelevantasreallifeproblems.

IlastsawHeinzontheeveningof 2March2002.Severalofhisacquain

-tances ho no ured him at C hr is Manning’shouseinSouthJakarta,in

-cludingTheeKianWie,AnwarNasu

-tion andBillWallace.Hisspirit and enthusiasmwerestrong,buthelooked

(15)

frail.Someofusthoughtthatitmight behislasttriptoIndonesia.Ihadac

-tuallyseenHeinzthedaybeforeata lunchforhimorganisedbyProfessor Widjojo.WhenIaskedhimaboutthe mainpurposeofhistriphesaid,‘to seeoldfriends’.

Thenewsofhissuddendeathcame asashock.MywifeandIwereover

-whelmedbythesenseofloss,theloss ofagreatfriendandteacher.Iamsure thatthisisafeelingsharedbymycol

-leagues.

SelamatJalan,Heinz.

H.W.ARNDT

SELECTEDPUBLICATIONS

(1944),TheEconomicLessonsoftheNineteen -Thirties,OxfordUniversityPress,Oxford. (1955), ‘External Economiesin Economic Growth’,TheEconomicRecord,November. (1954),‘A Suggestionfor Simplifying the Theoryof International Capital Move

-ments’,EconomicaInternazionale,August. (1 95 7), T he Au stralian T rad ing Banks,

Cheshire,Melbourne.

(1957),‘Overseas Borrowing—The New

Model’,TheEconomicRecord,August. (1960),‘Control ofInflation throughFiscal

Policy: A Reappraisal’, The Economic Record,December.

(1961),‘ProblemsofExternalandInternal Balance’,inEconomicSurveyofEuropein 1960,UnitedNations,Geneva.

(1968),ASmallRichIndustrialCountry:Stud -iesinAustralianDevelopment,AidandTrade, Cheshire,Melbourne.

(1969),‘ThreeTimes18:AnEssayinPoliti

-calAutobiography’,Quadrant,May–June.

(1972),Australiaand Asia:Economic Essays, ANUPress,Canberra.

(1976),‘Non-tradedGoodsandtheBalance

of Payments:TheAustralian Contribu

-tion’,TheEconomicRecord,March. (1978),TheRiseandFallofEconomicGrowth:A

StudyinContemporaryThought,Longman Cheshire,Melbourne.

(1979),‘TheModusOperandiofProtection’,

TheEconomicRecord,June.

(1984),‘Measuring Trade inFinancial Ser

-vices’,QuarterlyReview,BancaNazionale delLavoro,June.

(1984),TheIndonesianEconomy:CollectedPa -pers,Chopmen, Singapore.

(1985),A CoursethroughLife:Memoirsofan AustralianEconomist,NationalCentrefor DevelopmentStudies,TheAustralianNa

-tional University, Canberra.

(1987),AsianDiaries,Chopmen,Singapore. (1987),EconomicDevelopment: TheHistoryof anIdea,TheUniversityofChicagoPress, Chicago.

(1987),‘IndustrialPolicyinEastAsia1950

-1985’,IndustryandDevelopment,UNIDO, Vienna.

(1991),‘SortingOutExternalities’,Malaysian JournalofEconomicStudies,26(1+2). (1992),‘Comparative AdvantageinTrade

in FinancialServices’,in G.Jones(ed.),

Multinational and International Banking, EdwardElgar,Aldershot.

(1992),EssaysonDevelopment inaLiberalEco -nomic Order,OccasionalPaper 14,Inter

-national Centrefor Economic Growth, SanFrancisco.

(1993),50YearsofDevelopment Studies,Na

-tionalCentre forDevelopmentStudies, The Australian National University, Canberra.

(1993),‘Sustainable Development andthe DiscountRate’,EconomicDevelopmentand CulturalChange41(3),April.

(1996), Essays in International Economics, 1944–1994, Avebury,Aldershot.

(2001),TheImportance ofMoney:Essaysin Domestic Macroeconom ics, 1949–1999,

Ashgate,Aldershot.

(16)

TheIndonesiaProjectintheEconomicsDivision,ResearchSchoolofPacific andAsianStudies(RSPAS)andAsiaPacificSchoolofEconomicsandMan

-agement(APSEM)atTheAustralianNationalUniversitywishestoencour

-ageresearchatPhDlevelontheIndonesianeconomyand,inthelongerterm, toexpand thenumbersofyoungAustralians and NewZealanders witha closefamiliarity withIndonesiaanditseconomy.

Tothisend,currentorprospective PhD scholarsat TheAustralianNa

-tionalUniversitywhoareinterestedinundertakingdoctoralresearchonany aspect oftheIndonesianeconomyareinvited toapply for specialSupple

-mentaryScholarships, intheamountof$8,500perannumforuptothreeand ahalfyears.TheseScholarships aretobeknownastheH.W.ArndtSupple

-mentaryScholarships,inhonourofthefounderoftheIndonesiaProject,the

lateProfessorH.W.Arndt.Applicantsshouldhold,orhavebeenoffered,a PhDstipendscholarshipsuchasanAustralianPostgraduateAward,anANU PhDScholarship, oranANUGraduateSchoolScholarship.

Successful applicants will be subject to the normal requirements for completionoftheANUPhDinEconomics,detailsofwhichmaybefoundat <http://www.anu.edu.au/graduate/programs_courses/programs>.Inad

-dition,theywillbeexpectedtospendthreetoninemonthsundertakingfield

-workinIndonesiaforthepurposeofcollectingdataandotherinformation fortheirdoctoralproject,andtohave,ortoacquire,basicfluencyintheIn

-donesianlanguagetoassistinthiswork.TheywillbelocatedintheEconom

-icsDivision, RSPAS andAPSEM, where theywill beable todraw onthe resourcesoftheDivisionandtheIndonesiaProjectforsupervisory andother needs.

Continuedpaymentof the Supplementary Scholarship in eachsucces

-siveyearwillbesubjecttosatisfactoryperformance.ApplicantsmustbeAus

-tralianorNewZealandcitizensorpermanentresidents.

PersonswishingtoapplyfortheH.W.ArndtSupplementary Scholarships shouldnotifythe HeadoftheIndonesiaProjectat thetime theyapplyfor PhDscholarships tenableat theANU,orassoonaspracticable thereafter, enclosingacopyoftheapplication, atthefollowingaddress:

ActingHead,IndonesiaProject DivisionofEconomics

ResearchSchoolofPacificandAsianStudies AustralianNationalUniversity

Canberra,ACT0200 Australia

Fax:+61261253700

Email:Hal.Hill@anu.edu.au

SUPPLEMENTARY

SCHOLARSHIPS

(17)

In the April1999 issue theIndonesia Projectannounced the introduction ofaspecialprizeintendedtoencourageIndonesian scholarstopublishtheirworkintheBulletinofIndonesianEconomic Studies.

TheH.W.ArndtPrize,namedinhonourofthefoundingEditor ofBIES,isawardedforthebestarticlebyoneormoreIndonesian authorspublishedbyBIESineachcalendaryear.

Thecompetition isopen toallIndonesiancitizenswhoare not membersofthe EditorialBoardor International Advisory Boardof BIES,andisadjudicated by apanelappointedby the Editor.

WinnersareinvitedtovisittheIndonesiaProjectforaperiod offourweeks,duringwhichtimetheyhavetheopportunity to furthertheirresearchandtopresentatleastoneseminarinthe EconomicsDivisionoftheResearchSchoolofPacificandAsian Studies(RSPAS)andtheAsiaPacificSchoolofEconomicsand Management(APSEM)atTheAustralianNationalUniversity.The prizeincludesaroundtripeconomyairfarebetweenJakartaand Canberra,plusalivingallowanceforthedurationofthevisit.

ArticleswithjointauthorshipbymorethanoneIndonesian citizenareeligibleforconsideration,buttheprizewillbeawarded toonlyoneoftheauthors.Insuchcases,theauthorswillneedto nominateonepersonasthepotentialrecipientoftheprize,prior totheadjudication process.

TheregularSurveyofRecentDevelopments,andarticleswith a non-Indonesiancitizenasa jointauthor, arenot eligiblefor

awardoftheH.W.ArndtPrize.TheIndonesiaProjectretainsthe rightnottoawardtheprizeinanyyearifnoentryisconsidered bytheadjudication paneltobeofsufficiently highquality.

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