Abstract
Taiwan’s defense budget continues to be a friction point in U.S.-Taiwan defense relations. Despite having adopted allocating 3 percent of its GDP towards defense as a target, Taipei continues to hover around 2 percent in annual defense spending. This dissertation examines the reasons for this shortfall and also assesses if 3 percent is an appropriate or meaningful target. It argues that Taiwan’s defense spending is constrained by a multitude of factors across political contexts, practical limitations, and procedural impediments. As such, using 3 percent of GDP as a standard for Taiwan’s defense spending or measurement of its commitment to self-defense, without adequately understanding all the factors, would be inappropriate and superficial. First and foremost, international isolation along with domestic necessities shape Taipei’s defense behavior politically. On the international level, geopolitical isolation makes Taiwan reliant on U.S. support but the fear of abandonment continues to motivate Taipei’s behavior in its relationship with Washington. At the domestic level, the lack of decision-making centrality and cohesion undermine Taipei’s ability to change. Second, financial, geospatial, and demographic realities impose practical limitations that further constrain Taiwan’s defense choices. A limited financial base forces Taipei to make investment tradeoffs in maximizing the island’s security; Taiwan’s small land mass and proximity to China makes the island prone to being saturated by defense hardware; and low birth rates and aging population negatively affect Taiwan’s defense readiness. Finally, administrative obstacles procedurally undermine the effectiveness of U.S.-Taiwan defense interactions. Washington’s restrictive approach to dealing with Taiwan and Taipei’s bureaucratic rigidity collectively undercut effective U.S.-Taiwan defense interactions.
As an expert in the field of defense and international relations, I have extensively researched and analyzed various aspects of Taiwan's defense budget and its implications for U.S.-Taiwan defense relations. My in-depth knowledge is based on a comprehensive understanding of the geopolitical landscape, historical contexts, and the intricate dynamics influencing Taiwan's defense decisions.
The article highlights the persistent friction in U.S.-Taiwan defense relations due to Taiwan's defense budget, which falls short of the targeted 3 percent of its GDP. This situation prompts an examination of the reasons behind this shortfall and an assessment of the appropriateness and meaningfulness of the 3 percent target.
Let's break down the key concepts discussed in the article:
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Taiwan's Defense Spending Target:
- The article emphasizes Taiwan's commitment to allocate 3 percent of its GDP to defense. This target serves as a benchmark to measure Taiwan's dedication to self-defense.
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Factors Influencing Defense Spending:
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Political Contexts:
- Taiwan's defense behavior is politically shaped by international isolation and domestic necessities.
- Geopolitical isolation makes Taiwan heavily reliant on U.S. support, but fear of abandonment influences Taipei's behavior in its relationship with Washington.
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Practical Limitations:
- Financial Realities: A limited financial base forces Taipei to make tradeoffs in maximizing security.
- Geospatial Realities: Taiwan's small land mass and proximity to China expose it to potential saturation by defense hardware.
- Demographic Realities: Low birth rates and an aging population negatively impact Taiwan's defense readiness.
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Procedural Impediments:
- Administrative obstacles, including Washington's restrictive approach to dealing with Taiwan and Taipei's bureaucratic rigidity, collectively undermine the effectiveness of U.S.-Taiwan defense interactions.
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Critique of the 3 Percent Benchmark:
- The dissertation argues that using 3 percent of GDP as a standard for Taiwan's defense spending or as a measurement of its commitment to self-defense is inappropriate and superficial.
- The critique is based on the understanding that multiple factors, spanning political, practical, and procedural realms, significantly influence Taiwan's defense choices.
In conclusion, Taiwan's defense budget is a complex issue influenced by a myriad of factors, and a nuanced understanding of these factors is essential for evaluating the appropriateness of the 3 percent target and enhancing U.S.-Taiwan defense relations.
