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Sunday, February 24, 2008
Taiwan's presidential bets debate over China, economic policies (8:16 p.m.)

TAIPEI, Taiwan - Presidential candidate of Taiwan's main opposition proposed to relax trade restrictions with rival China to reinvigorate the island's once-vibrant economy in a televised debate Sunday, a month ahead of the election.

Following weeks of fiery exchanges over questions of integrity, Ma Ying-jeou of the opposition Nationalist Party faced of against Frank Hsieh of the ruling Democratic Progressive Party in the two-hour debate that addressed issues from China relations, economy, environment and farming policies.

As front-runner in the March 22 poll, Ma called for greater engagement with China, blaming Taiwan's stagnant economy on President Chen Shui-bian's stern policies toward China over his near eight-year rule.

"Most people have not had pay raises for eight years and that's why you feel the impact of inflation so badly," Ma said.

"If we launch direct transportation (with China), we can have closer trade links with Southeastern and Northeastern Asia and turn Taiwan into a regional hub to attract foreign investment," he said.

Independence-leaning Chen has rejected moves to relax trade restrictions to strengthen the already close economic relationship between Taiwan and China, arguing they could reduce the island's options in the event of a confrontation with Beijing.

Taiwan and China split amid civil war in 1949. China says the island of 23 million people is part of its territory and has threatened to attack if Taiwan moves to make its de facto independence permanent.

Ma has vowed not to pursue formal independence and called for a number of openings toward Beijing, including a sharp increase in the number of Chinese tourists permitted to visit Taiwan.

Hsieh has tried to distance himself from Chen's unpopular policies to confront China and raise political tensions.

During the debate, Hsieh said he would engage China in political dialogue and economic relationship but called for a more cautious approach.

"We will push the direct air and sea links, but we must make sure that our sovereign status and security not be compromised," he said.

"Before having dialogue, we must reconcile our differences so the mainland would not capitalize on our divide," Hsieh said.

They also addressed concerns about Taiwan's low fertility rate of 1.2 children per woman, and both proposed subsidies for childcare.

Ma blamed the low fertility on the slowing economy, while Hsieh said it was because "our political feuding and other pressures have reduced romantic feelings among couples."

Trailing badly behind in most opinion surveys, Hsieh has over the past month sought to attack Ma's integrity in an attempt to persuade voters to dump the opposition leader known for his honesty and clean image.

Among the many allegations, Hsieh's camp has accused Ma of holding permanent residence status in the United States, hinting the opposition leader does not have confidence in Taiwan's future. Ma has denied all as smear tactics. (AP)



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