Roles Of Government And Economic Development In Taiwan

Roles of Government and Economic Development in Taiwan

1. Introduction

Taiwan has achieved matchless of the world’s highest enumerates of growth over the past(a) 50 years. The real GNP grew at an average rate of 8.6 percent per annum between 1952 through 1999 and close to 3.6 percent thereafter. As a result, per capita GNP in Taiwan increased from astir(predicate) US$100 to US$15,271 (in 2005) during this period.(Thorbecke and Wan 1999: p.60) Its development has been characterized by rapid growth, stable prices, low unemployment, and equitable income distribution. As separate Asia’s Newly Industrialized Economics (NIEs), Taiwan’s economic success can not be thoughtless from its government’s policies. The paper attempts to discuss how and what government’s policies contributed to Taiwan’s economic success. It utilizes the World Bank’s approach to explain the government’s role in accelerating Taiwan’s economic: achieving macroeconomic stability and selectively innerving market. It urges that government’s willingness to experiment and to reduce, modify or reverse policies to changing circumstances is a key element in its economic success.

2. Existing Study

The remarkable economic development in Taiwan and other East Asiatic economics nominate attracted much attention.



Many scholars have provided powerful explanations to the “East Asian Miracle”. Geography and culture were clearly important; however, they do not entirely account for the high-performing economies’ success, as the presence of unsuccessful economies in the same region attests.(World Bank. 1993: p.9) Political-economic lens is more comprehensive and successful. Among the pattern of such explanations, three broad views have emerged.

The neoclassical economists turn over that the liberalization of market is accounted for Japan and four tigers’ economic success. They argue these High-performing Asian economies (HPAEs) provide a stable macroeconomic...If you want to beat up a full essay, order it on our website: Orderessay



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