The Taiwanese Economic “Miracle”: Continuing?

Abstract

The island of Taiwan has successfully managed sixty years of fast-paced economic growth. Taiwan is a demonstrably resilient player in the global economy, while also maintaining high levels of income equality. However, there is a great deal of uncertainty surrounding whether the factors that have enabled and sustained the Taiwanese development project thus far will be an adequate means of managing the contemporary challenges facing the island. Taiwan may be becoming increasingly vulnerable to global economic conditions, and the island’s future seems also to be increasingly tied to developments in the Chinese mainland. This paper examines the prospects for a continuing Taiwanese growth paradigm from both a cultural and an economic perspective and finds reason for optimism. This optimism is contingent on the strength of international export markets and prudent management of cross-Strait relations with the Chinese mainland.