Since President Ma Ying-jeou’s (馬英九) administration assumed office, unemployment has continued to set record highs. While government statistics show that unemployment hit 5.94 percent in June, US ratings agency Moody’s pointed out that the figure would be 7.1 percent if the percentage of the population forced to take unpaid leave is included.
A recent survey by Taiwan Thinktank found 12.7 percent of respondents to be either unemployed or seeking work, with approximately 30.6 percent of households suffering from unemployment. But instead of focusing on fundamental problems, the government has pinned its hopes on the signing of an economic cooperation framework agreement (ECFA) with China, saying that the pact will create 270,000 jobs. Can we really believe these statements?
The biggest concern is the potential unemployment an ECFA with China could cause. The survey also suggested that 50.8 percent of respondents did not agree with the government, which has said: “The signing of an ECFA with China would substantially reduce domestic unemployment.”
The survey said that the number of respondents who agreed with what the government has said about an ECFA only accounted for half of those who disagreed.
In addition, Chiu Jiunn-rong (邱俊榮), vice dean of the School of Management at National Central University, said the Global Trade Analysis Project model used in a report published by the Chung-Hua Institution for Economic Research was based on the assumption that there is full employment in the market. Chiu said the report was therefore incapable of estimating how an ECFA would affect Taiwan’s domestic job market.
However, the Ministry of Economic Affairs (MOEA) has repeatedly cited this report when stating that a pact with China would increase employment.
In addition, the government has not explained what an ECFA with China would entail. How can the public be expected to believe it will create jobs? A public opinion poll showed that 90 percent of respondents said they did not understand the proposed agreement’s content and 90 percent of respondents considered it necessary for the MOEA to publicize the details of an ECFA along with an objective assessment to give the public a better understanding of the matter.
The poll also said 80 percent of respondents disagreed with the content of the controversial cartoons the MOEA recently released, which depicted opponents to an ECFA as poorly educated and supporters as intellectually and socially superior.
The government should not push through such a controversial agreement against the will of the public. There have been many examples of economic affairs being put to a referendum in other countries. For instance, Denmark and Sweden made a referendum part of the approval procedure for their participation in European economic integration in 2000 and 2003 respectively.
Now that civic groups have completed the first stage of their application to hold a referendum on an ECFA, the government should not waste public funds promoting an economic pact with China or provide us with “professional assessments” to cover up the potential impact of the agreement. The government should make the contents of an ECFA public and engage the public in detailed discussion on what impact it may have on all aspects of our lives.
Whether to sign an ECFA should be decided by the public. Taiwan Thinktank is ready for a debate on the ECFA with the government, but is the government ready to discuss the matter openly?
Cheng Li-chiun is the chief executive officer of Taiwan Thinktank.
TRANSLATED BY TED YANG
KMT Chairwoman Cheng Li-wun’s (鄭麗文) recent visit to Beijing and her upcoming visit to Washington will serve as a high-level test of her diplomatic mettle. In Beijing, Cheng was received with symbolic gestures, a warm reception, and high-level access. In Washington, she will receive far less pomp and far sharper questions about the KMT’s vision for the future of Taiwan. Her challenge will be to persuade Washington that the KMT’s engagement with China can coexist with strong deterrence. Cheng’s April 7-12 visit to mainland China coincided with an intense period of conflict in Iran. Despite the strategic significance of Cheng’s trip,
The closure of the Strait of Hormuz has sent the vast Asian chemicals industry into a tailspin. Deprived of the likes of Qatari natural gas and Saudi Arabian oil, the region’s fertilizer and plastics plants are slowing production or even shutting down. Everywhere except China, that is. In petrochemicals, China is unique. As well as a traditional industry that uses oil and gas as feedstock, it has parallel output that relies on its abundant domestic coal. Unsurprisingly, India and other regional powers want to copy and paste the Chinese method. This would not be easy — or climate friendly. The
Indonesian President Prabowo Subianto says he knows how to fix the problems facing Indonesia. Yet his economic mismanagement and authoritarian tendencies are steering the nation toward a familiar mix of currency instability and political chaos. The world’s fourth-most populous nation risks reversing the hard-won democratic and business reforms that came after the Asian Financial Crisis in 1997. At that time, the rupiah collapsed and the political upheaval that followed forced former president Haji Mohamed Suharto from power. Prabowo’s administration is ignoring similar warning signs. That disconnect was apparent in a national address on Wednesday, when Prabowo projected the swagger that has
“Of course you can choose not to be Taiwanese, just do not stay here,” chairwoman of Taipei 101 operator Taipei Financial Center Corp Janet Chia (賈永婕) said in an online interview with local entertainer Tai Chih-yuan (邰智源), triggering intense discussion on social media, with politicians across party lines weighing in. In the interview, which was aired on May 14, Chia and Tai’s discussion over a meal in Taipei 101 covered Chia’s career change from entertainer to chairwoman and US climber Alex Honnold’s free solo climb up the Taipei 101 building. During the interview, Chia said, “Being on this land, we
RSS