A Behavioural Perspective of Taiwans Obstacles Dr. Chengwei Liu (PhD Cantab) Associate Professor of Strategy and Behavioural Science University of Warwick 1 Quiz Which is further east: Bristol or Edinburgh? 2 3 Source: Google Map The network we are embedded in determine how we see the world 4 Source: Google Image Misunderstanding, confusion, distrust often follow External obstacles faced by Taiwan Being involved in the coopetition (or cooperative competition) between two super powers is not a easy position for any leader. Internal obstacles faced by Taiwan Resistance from various interest groups to trade liberalization Who gain? Who lose? How to reconcile? Ideally, policies should follow evidence: Identify the interest groups on the basis of industrial sectors not social class. However, Benefit of trade liberalization is not well recognized but its cost can be easily identified. One of the more robust findings in behavioral sciences But this is just one of the many hurdles Game: State a Number Name a number (integer) between (and including) 0 and 100. Task The person whose number is closest to 2/3 times the average number is the winner Payoff Sometimes it leads to spiral of silence 11 Shall we join that FTA? Aschs experiment Sometimes it leads to group radicalisation How to fix this? Professor Chow suggests several thoughtful solutions Stackelberg leader: need charismatic president Transparency in procedure: loss aversion and social dynamics can interfere In sum, politics should not override economic rationales. But they often do. Are we doomed? Fortunate favours the marginalised? Who could have predicted this? If we can have the best deal, we still need to prepare for the worst. If we cannot, we just move on. "Learning to see habituating the eye to repose, to patience, to letting things come to it; learning to defer judgment, to investigate and comprehend the individual case in all aspects. This is the first preliminary schooling in spirituality. Friedrich Nietzsche