Taiwan
In 1895, military defeat forced China to cede Taiwan to Japan. Taiwan reverted to Chinese control after
World War II. Following the Communist victory on the mainland in 1949, 2 million Nationalists fled to
Taiwan and established a government using the 1946 constitution drawn up for all of China. Over the next
five decades, the ruling authorities gradually democratized and incorporated the native population within
the governing structure. In 2000, Taiwan underwent its first peaceful transfer of power from the Nationalist
to the Democratic Progressive Party. Throughout this period, the island prospered and became one of
East Asia's economic "Tigers." The dominant political issues continue to be the relationship between
Taiwan and China - specifically the question of eventual unification - as well as domestic political and
economic reform
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