Book excerpt: ‘Diagnosing the Indonesian Economy: Toward Inclusive and Green Growth’ discusses the critical constrains to inclusive economic growth in Indonesia. The volume includes a broad overview of Indonesia’s development since the 1960s, and features an analytic framework for the study that aims to identify the most binding constraints. The chapters analyze macroeconomic management since the Asian financial crisis; the status of Indonesia’s industrial transformation; the challenges pertaining to Indonesia’s infrastructure; the situation of human capital and employment; the record on poverty reduction; the impact and status of the decentralization effort; and the challenges attendant to the country’s environment and natural resources.