Power or Institution？ The Development of Cross－Strait Interaction Model

Since the re-inauguration of the Kuomintang (Nationalist) government in Taiwan, Cross Strait relations has taken on a renewed path and a new chapter in history. From the Chen administration to the current Ma administration, the leadership on Taiwan has taken a wide turn in policy orientation against the Mainland, which demonstrates a clear difference in foreign policy thinking. Cross Strait relations is a typical case where politics tangles with economics. From the angle of international political economy, this essay seeks to address the policy changes towards Mainland China from the Chen administration to the Ma administration and analyze two different ways of interaction between both side of strait.