Spontaneous Voice

The Indonesia declaration of war against Malaysia was much dreaded. Apart from the fact that it hastened the return of Thai provinces to Thailand, much of fear of onslaught was much overrated however, thanks to aid of nearly 30 allies.

Instead, it brought boom to the Malaysian economy. The economy noticeably suffered from shortage of labor previously. The arrival of allies increased Malaysia population and in doing so, increased the quantity of high skilled labor in the market.

Production or more importantly, marginal product of labor, went up. With greater population with greater needs, consumption also went up.

In the oil market prior to the war for instance, there was an oil glut but during the war, over 1000 oil was sold in 1 day. Needless to say, the same was true for the food market and its supply chain.

It might appear that it would be in Malaysia's interest to keep having Indonesia to constantly attack Malaysia, making the war, more than anything else, a mere war game that dispropotionately benefits Malaysia.