democracy &



Chairman Hsieh Unveils New Cross-Strait Economic Platform
DPP Presidential candidate and Chairman Frank Hsieh unveiled his cross-strait platform in his new book, entitled Viva Taiwan (幸福台灣), which calls for a more liberal and dynamic economic relationship with China. As part of his Well-Being Taiwan platform, Hsieh seeks a more flexible attitude on cross-Strait investment and economic interaction. Based on his core principles of balancing ‘Taiwan’s sovereignty’ with ‘market competition,’ Hsieh proposes 6 main polices regarding cross-Strait economic development: 1. Strengthen the investment climate in Taiwan to attract Taiwanese businesses to reinvest in Taiwan; 2. Establish a new flexible system, given our first priority is to focus upon investment in Taiwan, to individually review Taiwanese investments in China. The government will remove the current 40 percent investment cap. This new system will allow for greater transparency in the flow of cross-Strait capital, resulting in more effective financial management; 3. Allow Taiwanese banks to open branches in China and Chinese banks to open offices in Taiwan. However, both sides must first establish an effective system for financial supervision, management, and regulation. This could lead to further relaxation of regulations in the near future, paving the way for Chinese banks to open branches and sub-branches in Taiwan; 4. Gradually expand the number of charter flights between Taiwan and China, expanding participating airports on both sides, eventually leading to direct flights once an established system is in place; 5. Further open Taiwan to Chinese tourists, with an emphasis on high quality travel and economic efficiency of the tourism industry. The ultimate goal is to gradually increase the number of Chinese tourists from 1000 per day to 3000 per day; and 6. Gradually open Taiwan to Chinese investments, excluding residential property, agriculture and high-tech industries.
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Additionally speaking to a group of businesses leaders last month at the Taiwan Economic Development Forum, Hsieh noted that despite the fact that Taiwan, as a developed country has maintained a relatively high rate of economic growth, many people still feel that the economy is performing poorly. This is a result of Taiwan’s manufacturing industries having moved out “too fast”, thus generating unemployment that have not been compensated by growth in service industries. To spur capital inflows into Taiwan, Hsieh advocates the “revamping of the capital market and tax environment in line with world standards” through measures such as lower inheritance taxes, liberalizing capital markets wider to foreign pension and other funds, and offering an amnesty on Taiwanese investors who had illicitly invested in China to attract Taiwanese capital back from the PRC.

Frank Hsieh’s Website Launched
The much anticipated English website for Frank Chang-ting Hsieh, DPP candidate for Taiwan’s 2008 presidential elections, is now up and running (http://www.vivataiwan.tv/eng/). More information on Hsieh and his running mate Su Tseng-chang can be found on the website. Additionally, supporters can join Hsieh’s official Facebook group and add a shout-out on “101 Reasons to Love Taiwan.”



If Elected, Hsieh Will Invite Hu for Peace Negotiations
Democratic Progressive Party (DPP) presidential candidate Frank Hsieh stated that, if he wins the presidency in March, he would like to have a dialogue with China on peace as well as bilateral economic development and other matters. Hsieh issued a “Kinmen Declaration” in which he affirms that. if elected, he will invite Chinese President Hu Jintao to Kinmen Island for talks. The Declaration is an affirmation of Hsieh’s advocacy of peaceful negotiations between Taiwan and China. The three points of the Declaration include: (1) the proposition that Taiwan become a “non-war zone” and Kinmen a “peace zone”, (2) promotion of the democratization of China, and (3) the invitation of Hu Jintao to Kinmen. Hsieh has always promoted peace in the Taiwan Strait but stresses that Taiwan must look closely at the content of any proposed peace agreement. He said that the negotiation of a cross-strait peace pact does not only concern “only the two sides of the Taiwan Strait but also involves the international community and complex international interests and issues.”

Department of International Affairs
Democratic Progressive Party 8F, No. 30, Pei-Ping East Rd. Taipei, Taiwan t. 886-2-23929989 ext. 305-306 f. 886-2-23214527
e-mail: foreign@dpp.org.tw web: http://www.dpp.org.tw

Director: Bi-Khim Hsiao

Ma’s integrity challenged, green card mystery remains
When Frank Hsieh asked in January whether Chinese Nationalist Party (KMT) Ma-Ying-jeou is or was a green card holder, the answer should have been simple and the issue would have been resolved. Ma has responded instead with varying answers and half-truths, indicating a lack of integrity and questionable leadership skills. Ma Ying-jeou had a United States Permanent Resident Card, commonly referred to as a ‘green card’. However, Ma intitially denied that any of his family members was or is a green card holder. A couple of days later, he quickly refuted himself and admitted that both he and his wife had applied for and obtained green cards in 1977. Ma now claims that his green card was automatically invalidated in 1985. This case raises a fundamental issue concerning Ma’s character beyond the issue of whether Ma’s green card is valid or not: his integrity (or lack thereof). Ma’s constant flip-flopping and his continued unwillingness to come clean on such an easily resolved issue reveals a calculating politician who would manipulate the facts of his own background in order to advance his career.
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Principal Deputy Director: Dr. I-Chung Lai Editor-In-Chief: Roger Lee Huang Editor: Mike Fonte Intern Writer: Minna Hsu



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Whether or not Ma has a valid green card or foreign nationality is an important issue that is being addressed by the Central Election Commission. For the voters of Taiwan, however, Ma’s inability to react appropriately under pressure remains the more important issue. His indecisiveness and inconsistency on the green card issue reveal his incompetence in resolving simple problems. It is difficult to fathom how someone like Ma, who has demonstrated his inability to overcome crises and resolve key national issues, could possibly lead Taiwan and guide the country along the right path.

Hsieh and Ma in First Presidential Debate
DPP Chairman Frank Hsieh and Kuomintang presidential candidate Ma Ying-jeou engaged in the first of two televised debates on February 24. The presidential candidates discussed issues such as national identity and cross-strait affairs, as well as the economy, environment and social welfare. When asked how he would address the matter of inflation, Hsieh proposed to cut taxes. The inheritance and gift taxes should be reduced and the corporate income tax rate decreased, he said. Another practice would be to grant amnesty to Taiwanese businesspeople in China so that they would transfer their capital back home. In regards to the environment, Hsieh pledged to control carbon dioxide emissions and levy taxes on fuel users. When questioned about the development of the east coast and the construction of the Suhua Freeway, Ma said he remained cautious about the freeway and was concerned about the traffic and its possible impact on the local environment. Hsieh countered that Ma’s present environmental concerns did not correspond with his party’s actions in the past. Hsieh cited his term as premier in 2005 during which Ma was KMT chairman and KMT legislators threatened to freeze the government budget if the Cabinet did not build the freeway. Hsieh said the freeway required careful assessment and thorough discussion. He also stated that the NT$90 billion (US$2.87 billion) budget allocated for the project did not need to be diverted elsewhere and could instead be used in a project he proposed to improve the transportation system on the east coast. Both Hsieh and Ma agreed for the setting up of casinos on the Penghu Islands. Hsieh stated that the project will require careful consideration, and argued that in order for the gaming industry to be successful and sustainable, additional businesses need to be developed along with the casinos, including the building of hotels and restaurants. Hsieh further proposed that decisions for the development of the gaming industry must be made by local referendum and, upon approval of the project, the hiring of Penghu locals, regulation on customers, as well as consideration of the sentiments of the local residents. Hsieh also proposed that more than half of the profits made in the gaming industry could be used for social welfare programs as well as in crime fighting projects. The second debate is to be held on March 9.



"Reversing the Tide : Protecting Taiwan"
Frank Hsieh’s presidential campaign headquarters recently organized a ‘walk against the wind’ spanning 500km, from the southernmost point of Taiwan to Taipei City in the north. Undertaken by a group of passionate youths and entitled “Reversing the Tide: Protecting Taiwan", the 22-day journey was completed entirely on foot. The march was named as such because Taiwan is facing two powerful adverse winds: (1) the “Adverse Wind to Taiwan’s Democracy”. 75% of the seats in the 7th session of the Legislative Yuan are monopolized by the Kuomintang (KMT) - this directly threatens Taiwan’s democracy, marginalizing the power and opinions of any oppositional parties; and (2) the “Adverse Wind to Taiwan’s Sovereignty” - Taiwan is constantly being suppressed by an authoritative China. With its military, economic, and political influence, China has repeatedly blocked Taiwan from participation in the international community and continues pressuring Taiwan’s international friends to discontinue their support for Taiwan. In order to show their determination in protecting Taiwan against the ‘adverse winds’, the group chose to walk adversely against the north-east monsoon winds from south to north. Their aim was to explore the roots of Taiwan’s democracy as well as define and organize their responsibilities for Taiwan’s future. Sam Lang, one of the first participants of the walk, stated that the march dispelled the myth that youth do not care about politics. He said that democracy was in peril if people continued to ignore it. “The January election was alarming, and if this continues, might be a step backwards,” said Lang. The march revisited important sites where early democratic movements such as the ‘tangwai’ era and the 2004 “228 Hand-in-Hand Rally” took place. People who encountered the youths were touched by their passion and joined the group in their journey around Taiwan. The walk concluded by arriving at the Zhong-shan Football Stadium in Taipei on February 28th, a national day of remembrance. More than a hundred thousand people joined the group and attended the “Praying for Taiwan: Love & Trust 228” memorial. The memorial event was marked with tributes and reflections on the victims of the past, while praying for the future of Taiwan.