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TABLE OF CONTENTS

Page

COVER PAGE

STATEMENT OF THESIS ORIGINALITY

THESIS ADVISOR APPROVAL

EXAMINATION BOARD APPROVAL

ABSTRAK ……………………………………………………………………...

ABSTRACT…………………………………………………………………….

v

vi

FOREWORD…………………………………………………………………... vii

TABLE OF CONTENTS…………………………………………………….... xi

LIST OF FIGURES………………………………………………..................... xv

LIST OF TABLES………………………………………………....................... xvi

LIST OF ABREVIATIONS………..………………….......….......................... xvii

LIST OF APPENDICES…………………………………….………................ xix

CHAPTER I INTRODUCTION

1.1 Background...................................................………........... 1

1.2 Research Questions..……………………………………… 6

1.3 Research Objectives……………………………………….. 7

1.4 Research Contributions ...……………………...………….

1.4.1 Theoretical .................................................................

7

7

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1.4.2 Practical ..................................................................... 8

1.5 Systematics of Writing………………………………......... 8

CHAPTER II ANALYTICAL FRAMEWORK

2.1 Annotated Bibliography ………….........……...................... 11

2.2 Framework of Theory and Concepts ......………….............. 15

2.2.1 Liberalism Theory…….………................. 15

2.2.1.1 Liberal Internationalism..

2.2.1.2 Economic Liberalism .....

2.2.1.3 International Trade .........

2.2.1.4 Economic Integration ....

18

20

20

23

2.2.2 Foreign Policy ...................……………....

2.2.2.1 Foreign Policy Objectives

26

29

2.2.3 Democratic Peace ..................................… 31

2.2.4 Diplomacy ....................................………. 33

2.2.5 Interdependency ...................……………. 35

2.2.6 Institutional Liberalism ............................ 38

2.2.7 International Regimes .……………......... 40

2.2.8 Regionalism .……………....…………… 42

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CHAPTER III RESEARCH METHODOLOGY

3.1 Scope of Research .........……….....…................................. 49

3.2 Types of Research Method……………………................... 50

3.3 Types and Sources of Data……………………................... 53

3.4 Data Collection Techniques Used ………….......................

3.5 Type of Analysis ..................................................................

56

58

3.6 Research Limitation ..…………………………………….. 61

CHAPTER IV THE ANALYSIS OF INDONESIA’S FOREIGN POLICY

AND ASEAN INTEGRATION

4.1 Indonesia’s Foreign Policy Background ...................…… 64

4.2 Focus and Priorities of Indonesia’s Foreign Policy

Towards ASEAN ......…………..……….………………....

4.2.1 Indonesia’s Focus towards ASEAN .......

4.2.2 Indonesia’s Foreign Policy Priorities ....

4.2.2.1 Economic Interests .....................

4.2.2.2 Political Interests ........................

4.3 Indonesia’s Contribution and The Process of Integration of

ASEAN .................................................................................

4.3.1 Indonesia’s Chairmanship Achievement

in 2011 .......................................................

69

69

72

72

76

83

83

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4.3.1.1 Pillar of APSC .............................

4.3.1.2 Pillar of AEC ...............................

4.3.2 The Significance of Indonesia’s

Achievement towards Progress of ASEAN

Integration .................................................

4.4 The Monitoring Process of Economic Integration Level of

ASEAN .................................................................................

4.4.1 AEC Scorecard ........................................

4.4.2 Writer’s Reflection: The Analysis of the

Level Economic Integration in ASEAN ..........

4.5 Writer’s Reflection on The Implementation of IR Theory

and Concepts Towards Issues ....................................................

88

91

94

105

105

110

117

CHAPTER V CONCLUSION AND RECOMMENDATIONS

5.1 Conclusion ...........................................................................

5.2 Recommendations ...............................................................

130

137

BIBLIOGRAPHY ……………………………….……………….......………...

APPENDICES

143

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LIST OF ABBREVIATIONS

AC : ASEAN Community AEC : ASEAN Economic Community ADMM : ASEAN Defense Ministers' Meeting AFTA : ASEAN Free Trade Agreements AICHR : ASEAN Inter-governmental Commission on Human Rights AIPR : ASEAN Institute for Peace and Reconciliation AMAF : ASEAN Ministerial Meeting on Agriculture and Forestry AMF : ASEAN Maritime Forum AMM : ASEAN Foreign Ministers' Meeting AMMTC : ASEAN Ministerial Meeting on Transnational Crimes APBN : Anggaran Pendapatan dan Belanja Negara APSC : ASEAN Political-Security Community APTERR : ASEAN Plus Three Emergency Rice Reserve ARF : ASEAN Regional Forum ASCC : ASEAN Socio-Cultural Community ASO : ASEAN Security Outlook ASEAN : Association of Southeast Asian Nations ASEAN SAI : ASEAN Supreme Audit Institutions BPK RI : Badan Pemeriksa Keuangan Republik Indonesia

CEPT-Afta : Common Effective Preferential Tariffs for ASEAN Free Trade Area

CLMV : Cambodia, Laos, Myanmar, Vietnam COC : Code of Conduct CSIS : Centre for Strategic and International Studies Direx : Disaster Relief Exercise DOC : Declaration on Conduct EAS : East Asia Summit EED : Equitable Economic Development FDI : Foreign Direct Investment FTA : Free Trade Area GDP : Gross Domestic Product IAI : Initiative for ASEAN Integration

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MP3EI : Masterplan Percepatan dan Perluasan Pembanguan Ekonomi IndonesiaPMDN : Penanaman Modal Dalam Negeri P5 : Permanent FiveRCEP : Regional Comprehensice Economic Partnership SEANWFZ : ASEAN Nuclear Weapon Free ZoneSMEs : Small and Medium Enterprises SPA-FES : Strategic Plan of Action on Food and Energy TAC : Treaty of Amity and Cooperation UN : United Nations

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LIST OF FIGURES

page

Figure 2.2 The Linkage of the Basic Concepts of Foreign Policy …...………. 31

Figure 3.1 Quantitative vs Qualitative Style ............................………………. 51

Figure 4.1 MP3EI Positioning in the Government's Development Plan ........... 75

Figure 4.2 Indonesia’s logo in ASEAN Chairmanship 2011 ............................ 84

Figure 4.3 AEC Scorecard Information ............................................................ 109

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LIST OF TABLES

page

Table 2.1 Categorization of Foreign Policy Objectives ................................... 30

Table 4.4 Indonesia’s Trading Information ...................................…………... 111

Table 4.5 Singapore’s Trading Information .....................………………….... 112

Table 4.6 Thailand’s Trading Information ............................…….....……….. 112

Table 4.7

Table 4.8

Table 4.9

Malaysia’s Trading Information .................................…………….

Philippines’ Trading Information .....................................................

Brunei Darussalam’s Trading Information ......................................

113

113

114

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LIST OF APPENDICES

page

Appendix A

Monitoring List…………………………………………………………………. A-1

Research Permission ................................……………………………………...

Research Permission Form ..................................................................................................

Proof Read Approval ...........................................................................................

Proof Reader’s Curriculum Vitae

A-2

A-3

A-4

A-5

Appendix B

Interview Transcript with Mr. Andri P. Nugroho………………......………….. B-1

Appendix C

ASEAN Economic Community Blueprint ...........................................................

ASEAN Framework for Regional Comprehensive Economic Partnership .........

ASEAN Free Trade Area .....................................................................................

ASEAN Political Security Blueprint ....................................................................

Declaration of ASEAN Concord 2 ......................................................................

Indonesia’s Chairmanship Information 2011 .......................................................

C-1

C-2

C-3

C-4

C-5

C-6

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Indonesia’s Chairmanship Information of Achievement 2011 ............................

Indonesia’s Foreign Policy Direction ..................................................................

Indonesia’s Foreign Policy Strategic Objectives .................................................

Jurnal Luar Negeri Edisi Khusus II/2011.............................................................

Set of Article ......................................................................................................

Appendix D

C-7

C-8

C-9

C-10

C-11

Author’s Curriculum Vitae…………....……...……………………………........ D-1