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The Developing Economies, XL-3 (September 2002): 359–80
POLITICAL DEMOCRATIZATION AND KMT PARTY-OWNED
ENTERPRISES IN TAIWAN
MITSUTOYO MATSUMOTO
This article will study how the existence of KMT party-owned enterprises (POEs) and
their development are related to Taiwan’s democratization. POEs are profit-making en-
terprises managed by the KMT, the former ruling party. All previous studies about the
relationship between democratization and POEs only draw attention to the economic
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