Summary
PSE Indonesia team member Tricia Mulyono writes about her realization of Economic Rent theory while observing expensive vacant land near her South Jakarta home. Average Indonesian wages are 25,000 — illustrating how government focus on wage regulation misses the root cause of inequality. She describes the experience of “seeing the cat” — the moment land economists first truly understand the significance of the land market.
Key Claims
- Average Indonesian wage is ~25,000. — confidence: high
- Governments focus on wage regulation while ignoring the land rent issue that causes inequality. — confidence: high
- “Seeing the cat” is the phrase land economists use for first truly grasping the importance of the land market. — confidence: high
- The 2019 decade cycle peak and 2020 fear pattern unfolded exactly as PSE forecast. — confidence: high