Freeman Report September 2009 Issue - vol. 7, no. 9

Observers of cross-strait relations between Taiwan and mainland China are getting past their skepticism that a breakthrough in the pair’s economic relationship is afoot, and starting to examine the significance for the two and – directly and indirectly – for the United States. This is tricky analysis for a couple of reasons. First, both Taipei and Beijing have been publicly coy on the extent of the liberalization they are contemplating. Then, the economic consequences of not pursuing cross strait economic opening requires clarification in order to make clear the net value to all parties to an economic agreement.