Southeast Asia’s Future Amidst Changing World Order

Summary

Gita Wirjawan's address at Meet 2023 explores the shifting global landscape, emphasizing the paradoxes of information vs. ideas, the rapid advancement of AI, and the tension between sustainability and development. He examines Southeast Asia's challenges, such as underinvestment in education and infrastructure, governance issues, and a lack of competition. Despite these obstacles, Wirjawan remains optimistic about the region’s future, urging investment in key areas, enhancing trust in systems, and leveraging its democratic characteristics. His insights offer a roadmap for addressing the region’s growth and development challenges, with a focus on long-term solutions and global engagement.

Takeaways

• 😀 Southeast Asia has transitioned from a bipolar world dominated by the US and the Soviet Union to a more multipolar world, with emerging powers like China, Russia, and Brazil.
• 😀 The internet successfully democratized information but failed to democratize ideas, leading to a world that has become more elitized rather than equalized.
• 😀 AI development has grown exponentially, but it has largely been driven by technologists who have neglected diverse perspectives from other disciplines like culture, philosophy, and economics.
• 😀 The shift of OpenAI from open source to closed source and from nonprofit to for-profit has raised concerns about prioritizing profitability over wisdom in AI development.
• 😀 There is a paradox between sustainability goals and development needs, with many countries focusing on immediate survival over long-term sustainability due to economic constraints.
• 😀 Modernity and development in countries like India and Indonesia are hindered by insufficient electricity supply, with large gaps in per capita electricity use when compared to developed nations.
• 😀 Southeast Asia has a history of peace and stability, with significantly fewer casualties from conflict compared to Europe, challenging the perception of the region as violent or extremist.
• 😀 Despite economic growth, Southeast Asia's GDP per capita has lagged behind China due to underinvestment in education, infrastructure, governance, and competition.
• 😀 Key factors hindering Southeast Asia's growth include the lack of focus on meritocracy in governance, with leadership often based on patronage and loyalty instead of talent.
• 😀 Foreign direct investment (FDI) is crucial for the region’s economic growth, with countries like Singapore attracting significantly more FDI per capita than its Southeast Asian neighbors.
• 😀 The rule of law and trust in a system are essential for economic development and attracting investment, with Singapore serving as a model of a nation governed by law rather than lawyers.
• 😀 The future of democracy in Southeast Asia depends on the region's ability to distribute public goods like healthcare, education, and welfare, alongside the distribution of political power.

Q & A

What are the three main paradoxes discussed by Gita Wirjawan in the speech?

Gita Wirjawan highlights three paradoxes: 1) Information vs. Ideas, 2) AI's rapid growth and its focus on profitability over wisdom, and 3) The conflict between sustainability goals and the developmental needs of many countries.

How does Wirjawan describe the role of the internet in shaping the modern world?

Wirjawan notes that while the internet successfully democratized information, it failed to democratize ideas. This has resulted in great ideas being disconnected from capital, which hinders progress.

What concerns does Wirjawan raise about AI's development?

He expresses concern that AI has been developed primarily by technologists focused on profitability, with insufficient input from diverse cultural, philosophical, and environmental perspectives, which may lead to an imbalance in its application.

What is the paradox of sustainability discussed in the speech?

Wirjawan points out that while experts are optimistic about achieving carbon neutrality by 2050, the majority of the global population, especially in developing countries, is more concerned with basic survival, such as food security, rather than sustainability.

What are the key attributes contributing to Southeast Asia's underperformance compared to China?

The key attributes are underinvestment in education, insufficient infrastructure development, weak governance, and lack of competition, which have hindered the region’s growth compared to China.

How has Southeast Asia’s GDP per capita growth compared to China’s over the past 30 years?

China's GDP per capita has grown nearly tenfold in the past 30 years, while Southeast Asia's GDP per capita has only grown 2.7 times in the same period, highlighting a significant gap in economic development.

What specific issues does Wirjawan identify with the education system in Southeast Asia?

Wirjawan criticizes the underinvestment in education in Southeast Asia, noting that many countries in the region do not meet the global average in proficiency tests, especially in STEM subjects, which limits future economic potential.

How does Wirjawan view the governance structure in Southeast Asia?

He suggests that governance in Southeast Asia often suffers from patronage and loyalty-based leadership rather than meritocracy. This contrasts with the more successful governance models seen in China and other countries.

What is the significance of competition in Southeast Asia’s economic development?

Wirjawan points out that Southeast Asia's lack of competition is evident in the low number of business licenses issued per 1,000 people, limiting entrepreneurial activity and economic growth compared to China, which has a much higher rate of business licenses issued.

What does Gita Wirjawan believe is necessary for Southeast Asia to thrive in the future?

Wirjawan believes that Southeast Asia can thrive by addressing its key challenges, such as improving education, infrastructure, governance, and competition. Additionally, fostering trust in legal systems and attracting more foreign investment is essential for the region's long-term growth.