This paper attempts to provide some answer to these questions, using rich plant-level data of medium and large manufacturing plants over the period 1993-2000.
How did the 1997/98 economic crisis affect the extent of firm entry in Indonesian manufacturing? What can we tell from examining the impact? This paper attempts to provide some answer to these questions, using rich plant-level data of medium and large manufacturing plants over the period 1993-2000. The descriptive analysis shows that while entry rates into the industry significantly declined during the peak of the crisis, they did not seem to have recovered during the early recovery period. The econometric results show substantial differences. They suggest that higher cost disadvantages faced by entrants and a more competitive economic environment after the crisis might be few answers for the observation.