The Taiwan liberalization experiences and review "_ two mice financial management journal

Here, I would like to recommend the Taiwan University, Taiwan "CEPD Vice Professor Sun earthquake" in April this year the "cross-strait economic forum" in the special report: the Taiwan liberalization experiences and review "(in comparison to article 25) as a reference. Sun-pointed out that Taiwan in 1950 has taken a "partial liberalization" export-oriented policies and achieved great success in the 1980s, many economists believe that Taiwan will soon be in the 90s across the "development" and "developed", become developed economies. But today, "Taiwan seemed to leave the realm of the developed area far." In his view, the experience acquired by the Taiwan basic lesson is that economic system and policies should keep pace with the times, with economic development, promote the economy of "liberalization", i.e. the market. Taiwan issues out in the "decision makers on economic liberalization lack awareness and confidence, and trying not to". For example, Taiwan 1960s should conform to the export expansion, the trade balance improvement, phasing out of export subsidies, relaxing restrictions on imports, pare, fixed NT low value, so that you can further enhance the efficiency of resource use, achieve a higher rate of economic growth in 1974 after the oil crisis of the world recession will be more relaxed. Subsequently, the Taiwan authorities in 1984, proposed the "liberalization, internationalization, institutionalized" in the right direction, but confined to short-term interest considerations, the "implementation of" three of indecision, causing the subsequent passive situation. For example, the Taiwan authorities in the foreign exchange assets substantially increased, is still not willing to let us rise, resulting in delays in releasing the mechanism of formation of foreign exchange controls, and a large number of acquisitions, the control of NT $ rate. Substantial acquisitions of u.s. dollars, the substantial increase in money supply, which in turn gave rise to the asset inflation and asset bubbles forming. Real estate bubble stimulate developers will be a lot of resources for the construction of the vacant room, causing serious waste. And subsequently subjected to external shocks, bubble collapse, not only numerous manufacturers of assets shrink into financial difficulties, and the Bank due to the large increase in bad assets of invincible burden, finally had to be offset by the bad government help banks, in the final analysis by all taxpayers pay. I think this article is worth a closer study, should learn the necessary lessons. (Wu Jinglian DRC researcher)