The Implications of China-Taiwan Economic Liberalization (Policy Analyses in International Economics)

Over the past half decade the prospect of significant economic liberalization has entered the public discourse in Taiwan and China. For the first time, both nations contemplate the possibility of essentially unlimited economic relations. What would improved relations between China and Taiwan mean for these two nations and the world? How should the US respond to further integration between these two countries--will it align with shifting Taiwanese views? Rosen and Wang provide a much-needed investigation of the implications of geo-economic and strategic economic deepening across the Taiwan Strait and make key policy recommendations that address greater integration. First, this new book evaluates the economic and political benefits of China-Taiwan rapprochement. Rosen and Wang begin by surveying current cross-strait relations to assess the consequences of maintaining the status quo, particularly for the Taiwanese economy, and the political value of reunification. The authors then explain why economic liberalization will boost the Taiwanese economy. This well-researched volume charts the dynamic effects of liberalization and the potential change in output, demand, and employment as economies redirect resources in economic and political sectors. To that end, Rosen and Wang conclude that liberalization presents a valuable opportunity for the most prominent players in this cross-strait relationship as well as other economies in the region.