Cash: The Commodity of International Trade

We're on Skype now. (Skype is an on-line calling system. You can sign up for free at www.skype.com to make calls cheaply. Plug, plug, plug.) I just used it to call my brother-in-law Jason. He and Mona's sister are coming to visit this summer and escort us back to the states for our short furlough. What a joy family is!

I mentioned in a previous blog that I've lost my eye for seeing the cultural varients as I once did. Chatting with Jason helped me realize that I don't have to see life here as I did when I was fresh off the plane. I can ask prompting questions like "What will Jason and Rita find comical here? What did my mom and sister see as unusual when they were here?" Or even specific starters such as "What is different about transportation here compared to the states? Food? Fashion? Economics?" These questions have brought new life to my perspective on life in Indonesia.

So what did I find of interest today? Money. We all like it, but the concept of it - its value, use, and methods to get it - are very different from America. The first thing I noticed is that Indonesia is a cash-based society. Want to go shopping? Make sure you have enough cash on hand. Very few places accept credit cards. And, although credit card usage is growing, it's strongly advised not to use them except at internationally reputable businesses. Credit and the banking systems have only in the last few years gained a role in the common Indonesian's life. I've heard stories of vehicles being purchased after the buyer spent an hour at the ATM. $16,000 is a lot of cash to pull out $100 at a time.

The next difference about money here is that its value varies based on what you're buying and from who. For instance, prices are rarely set in stone ("pas" as we say). I bought a large bouquet of flowers at the street market ("pasar") for Rp. 20,000. My helper went to the same "ibu bunga" (flower lady) and bought an even larger bouquet for Rp. 6,000. The sad part was that I bargained her down considerably to get my price. The other variation in its perceived value is that often one can barter rather than pay cash money. If I have something they want - which is virtually anything I'm wearing from the states, especially shoes - bargaining takes on a whole new life.

Lastly, very few native Indonesians are creatively entrepreneurial in their businesses. In our small neighborhood are several "warungs" or selling posts. They sell packaged noodles, pads, native candies, cigarettes, and the like. However, they all sell the same thing; same brand; same quantities. There's no real edge on the market or uniqueness of product to draw customers in. Also, once a product is bought out, it's out. Many times for weeks on end. "Baru habis" is a commonly heard phrase meaning "We just ran out."

All this said, I do think that Indonesia and her children are beautiful. They are not like me; or rather, I am not like them. Other than the fact that I am often a foot or more taller, much fairer skinned, and the only red-head in a city of 200,000, I also think differently about money. I like my credit cards. I like having a bank account that pays interest - minute as it may be - and I like knowing that I can go from vendor to vendor to get the best price in a capitalistic market. However, the system of bartering, bargaining, and brandishing cash works here. And for that matter, why should they change just to suit my preferences?