Premier Sean Chen unveiled a stimulus package Sept. 11 consisting of five major initiatives -- adjusting the industrial structure, boosting investment, promoting exports, strengthening talent training and enhancing government efficiency.
The package, which will cost less than NT$120 billion (US$4.07 billion) and will account for less than 0.5 percent of the country's gross domestic product, can hardly cope with the challenges faced by the economy or live up to the high expectations of the public.
It cannot compare with the vigorous steps taken by other countries.
South Korea, for example, launched another US$5.23 billion stimulus package Sept. 10, after a first wave, costing US$7.54 billion, was activated in late June. Furthermore, the country's central bank is prepared to lower its key interest rates by 0.25 percentage points Sept. 13 to give an extra boost to the economy.
Based on the package put forth by Chen, this paper cannot see any determination or ambition in the government to rescue the economy in such a way that people can actually feel it. The package contains too little meat and comprises mainly old ideas, which is disappointing.
In the face of the worsening economy, Taiwan needs to learn from the forceful and aggressive manner of South Korean policymakers. (Editorial abstract -- Sept. 13, 2012)
(By Y.F. Low)