2).
Corruption is detrimental to Indonesia in many ways. High levels of corruption have thwarted economic and social development, have pushed many Indonesians into poverty, and currently threaten the stability of the nation. One of the biggest causes for corruption in Indonesia is quite similar to a major cause of corruption in China, the complete lack of practices and procedures that act as a check on government power. Very little accountability exists for government actions in either country. Indonesian corruption is so systemic that Transparency International ranked the country 80 of the 85 countries on its Corruption Perception Index, while the Political and Economic Risk Consultancy, Ltd. ranked Indonesia the most corrupt of twelve Asian countries considered (Harahap, 1999, 3).
Approximately one-third of the loans provided to Indonesia are lost through corruption, and a recent survey of Indonesians found that 68.5% of the people believe the law, police, and government officials could be bribed (Harahap, 1999, 3). Many onlookers argue that the biggest problem creating such widespread corruption in Indonesia stems from the enormous power in the hands of the president and others officials, with few checks on power or balances within the executive, legislative, and judicial branches of power. As Harahap (1999) argues: ôIncentives for corruption are provided by the high level of funds and resources under the discretionary control of officials, combined with poor formal laws on corruption, the lack of credibility of law enforcers, and the poor conditions of civil service employmentö (3). Most experts argue that democratization of institutions must occur in tandem with reforms aimed at economic growth if Indonesia is to survive its current crises.
Constitutional reform is seen as necessary by many to help end the KKN that pervades Indone
...