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D. When Chinese leader Chiang Kai-shek fled Communist forces on mainland China in 1949, he went to Taiwan and made Taipei the “temporary” capital of his Republic of China, which still claims to be the valid government of all of China. The Communist Party runs the People’s Republic of China which rules mainland China from Beijing and also claims sovereignty over Taiwan.
A. China now has the world’s largest economy and it has been investing in many nations, lending them money and pressuring them over Taiwan. The White House has warned that China lures countries with economic inducements that “facilitate economic dependency and domination.” Meanwhile, the U.S. Senate is consider legislation to cut aid to nations that end ties with Taiwan.
C. Tourism accounts for 42.3% of Palau’s economy, and until this year more than half its visitors came from mainland China. Last November, Beijing ordered tour operators to stop selling package tours to Palau, and the island nation’s economy slumped. Government leaders have vowed not to abandon ties to Taiwan, which supplies about $10 million aid to Palau every year.
B. In 1895, Taiwan’s western neighbor Japan took the island from its eastern neighbor China, which had ruled Taiwan for more than 200 years. Japanese colonial rule was instrumental in the industrialization of the island, extending the railroads and other transportation networks, building an extensive sanitation system, and establishing a formal education system.