The Concept of Mahathiriskonomisme: An Economic Recovery Model during Crisis

Abstract

Mahathiriskonomism is a thought concept in an effort to save the economy under crisis and has proven successful. This model was a manifestation of idea and an action plan used by Malaysia during the economic crisis, which was an initiative of Tun Dr. Mahathir Mohamad during his reign as Malaysia's Prime Minister. With experience in handling two great economic crises, in 1982 and 1997, the birth of an economic management under stress by Tun Dr Mahathir can clearly be called as Mahathiriskonomism. Therefore, the thought perspective and idea with the actions that were used in 1997 was perceived as an important effective experiment in handling the economic crisis which has defied western believes, applied by the International Money Fund (IMF) and also the World Bank under the Washington Consensus. The global economic crisis 2008 made Malaysia an important subject as alternative management in economy under stress. In this ever challenging world, no country in this world can escape from menaces and threats. The threats that emerge can come in various forms. One of the threats and menaces that can manifest is in terms of economy and national development. Currently, in this globalised era, international institutions are also used as instruments to threaten and menace a country’s sovereignty. The westerner’s are supposed to use international institutions as agents, design to shake the stability and present an impact to the government of a country. Consequently the countries being threaten are compelled to accept the injection from the International Money Fund (IMF) which is perceived by some leaders and the public as a proxy to United State and westerners. The IMF had succeeded in confusing the local financial and political system. In the quest to defend the integrity and sovereignty of Malaysia, under the leadership of former Prime Minister, Y.Bhg Tun Dr. Mahathir Mohamad had successfully minimized the impact of threats and maintained economic management and national politic towards stability. Hence, this approach which can also be referred as 'Mahathiriskonomisme' is identified as a successful approach that amazed the world, furthermore it is observed and studied not only by economy and political researchers in Malaysia, but also international researchers