Political Economy of U.S. - Taiwan Trade

Two key features of the remarkable economic growth in the newly industrializing countries of East Asia over the last quarter of a century are the role of exports of manufactured goods as the engine of this growth and the importance of the United States as a market for these exports. Political Economy of U.S.-Taiwan Trade analyzes the nature of the political and economic interactions, both domestic and international, which evolved between Taiwan and the United States in a manner that has enabled this growth to occur. In analyzing the various cooperative and conflicting trade policies pursued by the two countries over the last fifty years, the authors utilize a broad political economy framework. They first describe the nature and evolution of trade between Taiwan and the United States and discuss the major economic and political groups and institutions that shape trade policies in the two countries. In doing so, the role that trade has played both in Taiwan’s development policies and in the international economic and political policies of the United States in the post-World War II period is analyzed. The various restrictions imposed by each country on the other’s exports are examined, and the efforts to reduce these trade barriers are then discussed in detail. Particular attention is given to the series of bilateral negotiations in which the United States has used its dominant economic and political power to force Taiwan to open a number of its internal markets. The book will be of interest to both economists and political scientists specializing in international economics and international political relations. Area specialists focusing on the Far East will also find the book helpful. Robert E. Baldwin is Hilldale Professor of Economics, University of Wisconsin. Tain-Jy Chen is Research Fellow, Chung-Hua Institution for Economic Research. Douglas Nelson is Associate Professor of Economics, Tulane University. This title was formally part of the Studies in International Trade Policy Series, now called Studies in International Economics.