My PhD project studies the roles of the transportation revolution in shaping the spatial organization of economic activity and changing the environment across the Indonesian archipelago. It dated back to the Industrial Revolution in the latter half of the 19th century when Dutch colonial power introduced modern transportation technologies of railroads. Responding to the invention of the internal combustion engine and commercialization, the next century of Independent Indonesia was best distinguished by vast investments in road infrastructure. The early third millennium was finally marked by the successful deregulation of the airline industry following the 1997-98 Asian Financial Crisis.