Press reports of rising anti-Americanism and Muslim militance in several Southeast Asian countries have fueled speculation that the United States may be planning to intervene against terrorist groups in that part of the world. How credible are these reports? In Indonesia, which has more Muslim citizens than any country with the possible exception of India, Islamist activists have demanded the severing of U.S.-Indonesian relations and threatened to expel Americans. There has been speculation that American advisers may soon arrive in the southern Philippines to help Manila root out ostensibly Islamist rebels operating there. While criticizing the bombing of Afghanistan, Malaysian Premier Mahathir Mohamad has accused his Muslim opposition of links to Islamist subversion. Meanwhile, Malaysian jihadist elements are alleged to have been in touch with Osama bin Laden's network. How real are these perceived dangers? What do they imply for stability and democracy in Southeast Asia, and for the future of America's global coalition against terror? Bambang Harymurti has long been associated with Tempo, the leading newsweekly in Indonesia. He served on its editorial board from 1987. When the magazine was banned in 1994, he moved to the daily newspaper Media Indonesia. He returned to Tempo following its reappearance in printed form in 1998. He has held fellowships at Harvard, Johns Hopkins, and the East-West Center, among other institutions. He was also a finalist in Indonesia's astronaut program. Fortunately for journalism, he did not make the cut. Don Emmerson convenes the Southeast Asia Forum in the Asia/Pacific Research Center, a unit of Stanford's Institute for International Studies.

Physically aligned as they are toward Mecca, the daily prayers and lifetime pilgrimages of Muslims around the world--hundreds of millions of spokes of religious practice--surround and sustain the Arabian hub of Islam as religious practice. Yet the demographic center of gravity of the Muslim world could hardly be farther from the Middle East. For it is in the vast arc of Asia, in countries such as Pakistan, India, Bangladesh, Indonesia, and Malaysia, that the great majority of the world's Muslims live. How, if at all, does this striking difference between ritual focus and social fact affect the outlooks and actions of Asian Muslims? What, roughly, is the balance of militancy and toleration in this Asian context, especially in ethnically and religiously plural societies such as Malaysia? Is it realistic to think that Asian attitudes and behaviors could form the basis for a 21st-century reformation and renaissance of Islam in which the jihadist passions of Al Qaeda and the purist strictures of the House of Saud would be refuted and shunned in favor of intercultural cooperation and liberal democracy? Or has the American-Afghan crisis, on the contrary, ignited a chain reaction of sympathy for Arab (and Pashtun) resentments that will inflame Asian Muslims against unbelievers? Finally, what relevance do these questions have for the people and policies of the United States? Karim Raslan is one of Southeast Asia's leading public intellectuals. His diverse interests run from constructing fictional plots to restructuring all-too-real bankruptcies. When he is not writing short stories and newspaper commentaries, or appearing on CNN or the BBC, he partners a highly regarded Malaysian law firm, Raslan Loong. His first novel, Desire--the first of four planned volumes about a family of Malay Muslims--will be published next fall. A third collection of his short stories should be out next spring. His syndicated column, "Eye in Asia," appears weekly in newspapers in Malaysia and Singapore, and is often reprinted elsewhere in Asia and Australia. The specialties of his law firm include corporate finance, capital markets, and information technology. He is presently a visiting scholar at Columbia University. When he is not traveling, Mr. Raslan lives in Malaysia.

For more than twenty years, labor-intensive industrialization in developing countries has generated controversy about "sweatshop" conditions in the factories of multinational companies and their regional subcontractors. In recent years, U.S. university students have vigorously opposed such factories as sites of abuse and exploitation. Others reply that such places offer their mainly young and female workers much-needed income and independence. Much of this controversy has focused on Southeast Asia as a prime location of facilities for the manufacturing of apparel, footwear, toys, and other labor-intensive exports. Why do sweatshops exist in these countries? Why are they tolerated? Why are they assailed? Are the objections justified? What should be done? University of Michigan-Ann Arbor Business School Professor Linda Lim has helped pioneer empirical research on young women factory workers in Southeast Asia. She has published extensively on this and other labor-related subjects. She has also served as a frequent consultant to the International Labor Organization, most recently on the globalization debate. She was a member of the University of Michigan's Advisory Committee on Labor Standards and Human Rights in 1999-2000.

In Southeast Asia, partial recovery from financial crisis has been accompanied by signs of the start of a local version of America's internet business boom. E-businesses and dotcom start-ups have emerged. Political and business leaders have touted the virtues of the so-called "new economy" and its potential for resolving the post-crisis malaise that still affects parts of the region. But is the e-business revolution in Southeast Asia real? Are technologies and business practices being transformed? Or is the "new economy" mainly hype and wishful thinking? Does e-business spell the death of monopolies and conglomerates at the hands of agile new entrants? Or is it popular because it provides an alternative to fundamental business restructuring? And what do the answers to these questions imply for economic recovery and political reform? Linda Lim is the associate director of the International Institute and Director of the Southeast Asia Business Program at the University of Michigan in Ann Arbor. She has written and lectured extensively on political economy, economic development, and business practices in Southeast Asia, where she recently completed preliminary field research on the appearance and growth of electronic business.