Taiwan stands as the world’s semiconductor powerhouse, yet its technological prowess has failed to translate into improved living standards for many residents. The island’s economic miracle has created a tale of two Taiwans, where soaring GDP figures mask a widening chasm between the wealthy and working class.
According to UBS Group, Taiwan’s per capita wealth has reached NT$9.17 million (US$299,300), positioning the island among the world’s most prosperous economies. However, the Directorate General of Budget, Accounting and Statistics (主計總處, DGBAS) under the Executive Yuan (行政院) reveals a stark reality beneath these impressive numbers. The wealth gap has exploded from 16.8 times three decades ago to a staggering 66.9 times today.
This economic polarization has fundamentally reshaped Taiwanese society. The middle class has contracted by eight percentage points over the past 30 years, now comprising just 30.37% of the population. For workers like Allen, a middle-class Taiwanese who earns between NT$40,000 and NT$50,000 (US$1,305 to US$1,632) monthly, financial pressures have become a defining feature of daily life.
Allen has begun setting aside money for future long-term care expenses, determined not to burden his daughter financially. His cautious approach reflects a broader demographic crisis: Due to economic constraints, families are choosing to have fewer children, further shrinking Taiwan’s labor force. The financial strain of raising additional children has become prohibitive for many households.
Sherry Chiang (江錦樺), senior manager at 104 Job Bank (104人力銀行), advocates for corporate solutions, including flexible working arrangements and childcare subsidies, to help employees manage work-life balance.
Also, Wang Jiann-chyuan (王健全), vice president of the Chung-Hua Institution for Economic Research (CIER, 中華經濟研究院), identifies soaring real estate prices as a primary economic burden. In Taipei, the house price-to-income ratio has reached approximately 20 times, making homeownership increasingly unattainable for average earners.
Taiwan’s economic strategy has prioritized high-tech industries at the expense of traditional sectors, creating an uneven income distribution despite robust GDP growth. As the island deepens its integration with global markets, ensuring that prosperity reaches all citizens has become an urgent challenge. The semiconductor success story, while impressive on paper, has yet to deliver broad-based economic benefits to Taiwan’s 23 million residents.
TAIPEI (TVBS News)
Reporter Lu Hsin yang
Release time：2025/09/01 20:00