Place Credit Reports Taiwan Order
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Economy Overview:
The Republic of China (on Taiwan and other islands, frequently
referred to simply as Taiwan) has a dynamic capitalist economy with gradually decreasing guidance of
investment and foreign trade by the government. In keeping with this
trend, some large government-owned banks and industrial firms are being
privatized. Real growth in GDP has averaged about 8% during the past
three decades. Exports have grown even faster and have provided the
primary impetus for industrialization. Inflation and unemployment are
low; the trade surplus is substantial; and foreign reserves are the
world's third largest. Agriculture contributes 3% to GDP, down from 35%
in 1952. Traditional labor-intensive industries are steadily being moved
off-shore and replaced with more capital- and technology-intensive
industries. Taiwan has become a major investor in mainland China,
Thailand, Indonesia, the Philippines, Malaysia, and Vietnam. The
tightening of labor markets has led to an influx of foreign workers,
both legal and illegal. Because of its conservative financial approach
and its entrepreneurial strengths, Taiwan suffered little compared with
many of its neighbors from the Asian financial crisis in 1998-1999.
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