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5 Percent Growth Trap

By
Muhamad Chatib Basri
· 7 minutes read
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Chatib Basri

“The difficulty lies, not in the new ideas, but in escaping the old ones, which ramify, for those brought up as most of us have been, into every corner of our minds.” The sentence was written by John Maynard Keynes in his seminal introductory book, The General Theory of Employment, Interest and Money.

The sentence seems to be true up to this day, especially when we are trapped in economic growth at the range of 5 percent. Of course we need to note, it is not easy to grow 5 percent in the midst of this turbulent world. However, we must also admit: that is not enough. We need to boost growth to avoid the risk of getting "old before rich". Unfortunately, these days we are trapped in a dilemma between stability and economic growth.

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