Economic Integration Across the Taiwan Strait
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Economic Integration Across the Taiwan Strait

Global Perspectives

Edited by Peter C.Y. Chow

Despite their controversial political relationship, Taiwan and China remain very much entwined economically. This timely volume explores the complicated state of economic and trade relations between the two countries, meticulously unraveling the issue’s various threads and presenting an authoritative breakdown of a complex and fascinating economic linkage.
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Chapter 3: Assessing the impacts of the integration of the ICT investments of Taiwan and China upon economic growth in Taiwan

Winston T. Lin

Extract

Since the start of the 1980s, the investments on information technology (IT) and communications technology (CT) have rapidly increased. For instance, since the 1990s, Taiwan has invested approximately US $245 992 million on IT and CT; and in Taiwan, the CT investment is about 2.5 to 3.5 times that of IT (Chen and Lin, 2011). Indeed, ICT (used hereafter to denote IT and CT combined) has been used to procure state- of- the- art computer hardware, software, and services; to develop new communications systems for re- engineering business and innovative production processes in operations and production management; to train the production and information systems staff and end- users to become more skilled in using ICT; to build up computer networks for connecting manufacturers, suppliers and customers; etc. (see Chen and Lin, 2011; Lin and Shao, 2000). China is no different, meaning that – as in Taiwan – ICT spending in China has rapidly increased since the 1990s (see Figures 3.1 and 3.2, which show how ICT investments in Taiwan and China have evolved over time and by sector).

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