ally since 1980 (Reese, 1996, 1). It is projected that for the balance of the 1990s, Indonesia's economy will continue to increase in size by about 8% annually (Reese, 1996, 1). In 1970, Indonesia imported $1.5 billion worth of products and by 1996 this figure has increased to $42 billion (Reese, 1996, 1). One of the fastest growing sectors of the Indonesian economy is the building and transportation industries. The growing economy and the fact that Indonesia has a population of 195 million people (which is also increasing by 1.9% annually) has required a massive increase in the building of residential, commercial, and manufacturing structures.
Statistics show the building industry is increasing by 50% annually for a variety of reasons. In terms of residential housing, it is estimated that there are currently approximately 32.5 million families in Indonesia (Reese, 1996, 1). Traditionally, Indonesian families often lived with other family relations or in poor and subsistence housing thus requiring relatively small annual demand for new residential housing. However, with the boom in the economy, Indonesian families have seen their average yearly income jump from $400 in the early 1980s to an annual income of approximately $950 by 1995 (Reese, 1996, 1). This increase in per capita income has meant an increase in the demand for homes by Indonesian families and the nation now faces a housing shortage. In 1994, 810 new homes were built in Indonesia and 30% of these homes were purchased by middle and upper level income families (Reese, 1996, 3).
These newly affluent families understandably fear the threat of crimes against themselves and their property. Recent statistics reporting the annual increase of crime by as much as 7% (a figure which in the past was unheard of in Indonesia) seems to bear out these fears (Reese, 1996, 2). Reese attributes much of this incre
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