Taiwan: History, Economy, and Regional Imbalance Analysis

Taiwan: History, Economy, and Regional Imbalance

Regional Imbalance and Climate

Taiwan has a tropical climate, resulting in regular rainfall. Typhoons and earthquakes are common, which can hinder agriculture. However, the island is not significantly affected by fragile soils.

Resources and Foreign Investment

Foreign powers dominate almost all the capital. Large multinational factories have relocated to Taiwan because of its cheaper workforce. Consequently, the secondary sector is highly developed compared to other developing countries.

Sector Distribution

The secondary sector predominates. In the primary sector, livestock and agriculture are stressed, along with fishing. The manufacture of textiles and footwear is significant, with many clothes labeled “Made in Taiwan.” This can cause international conflict due to concerns about child labor and exploitation, with some sites paying illegally low wages.

The tourism sector is developing due to the climate and costs.

Modern History

Originally inhabited by Malay-Polynesian peoples, the island was controlled by the Dutch between 1624 and 1662. Zheng Chenggong, a former pirate under the Ming Dynasty, drove them out and organized the first wave of Chinese settlers. These settlers gradually displaced the natives.

In 1895, China ceded Taiwan to Japan under the Treaty of Shimonoseki.

After World War II in 1945, Japan accepted the Potsdam Conference terms, reverting the island to Chinese sovereignty. Fresh troops massacred approximately 30,000 natives, followed by an influx of two million refugees from mainland China after the civil war.

In the Treaty of San Francisco (1952), Japan renounced the island, but the treaty did not specify who should receive it, which has been used to justify arguments for independence.

Political Transition

The KMT held a dictatorship until 1991, with a state of war until 1987. Democratization occurred in the 1990s, culminating in the 2000 elections with Chen Shui-bian’s presidency, re-elected in 2004.

In the 2008 presidential elections, Ma Ying-jeou (KMT) was elected, reflecting a desire for less strained relations with China and improved economic status, following disappointment with Chen Shui-bian and the Democratic Progressive Party (DPP). Mandarin Chinese remains the official language due to Taiwan’s historical ties with China.

Conflict and Underdevelopment

Political and ethnic conflicts contribute to underdevelopment, as Taiwan has only recently become independent. The capital is well-developed and home to the wealthiest, featuring Taipei 101, one of the world’s tallest towers. This highlights the imbalances between people, exacerbated by the influx of upper-middle-class Chinese after the 1949 civil war.

Religious and Ethnic Tolerance

Religious conflict is minimal, with tolerance among Taoism, Buddhism, and other faiths. The state allows all religions, and they coexist peacefully.

Similarly, ethnic tensions are low. Although only about 10% of the population is of Polynesian origin, they do not clash with the Chinese or nationalists who arrived after the Civil War.

Unlike many developed countries, Taiwan’s population growth is not excessive, and it has sufficient resources for its people.