Globalization Effects on China's Influence on Taiwan Economy
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Globalization facilitates China's emergence and places Taiwan economy under China's influence. Empirical data confirm that Taiwan's structural weakness compromises its autonomy. Sino-US economic interdependence confines the US from adopting any strategy to protect Taiwan's autonomy. China is the largest recipient of Taiwanese investment. Flow-on effects determine China's indispensability to Taiwan. Yet, in fear of losing its autonomy to China, Taiwan tries to control the cross-Strait economic exchanges but fails. As Taiwan seeks for independence but China insists on unification, the ideologica...
Globalization facilitates China's emergence and places Taiwan economy under China's influence. Empirical data confirm that Taiwan's structural weakness compromises its autonomy. Sino-US economic interdependence confines the US from adopting any strategy to protect Taiwan's autonomy. China is the largest recipient of Taiwanese investment. Flow-on effects determine China's indispensability to Taiwan. Yet, in fear of losing its autonomy to China, Taiwan tries to control the cross-Strait economic exchanges but fails. As Taiwan seeks for independence but China insists on unification, the ideological fight between the two sides is a zero-sum game. The US involvement maintains the cross-Strait status quo, but China's rise will disrupt the balance. Without political concessions, Taiwan will always live under the Chinese threat. Yet, if the US adopts a Trojan-Horse Strategy, Taiwan will have a chance to oversee China's development.
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