This National Intelligence Estimate concludes that "the Government of the Republic of China continues to exercise firm political control on Taiwan. With US assistance, an expanding economy has been maintained and the strength of the armed forces has been increased. At the same time, however, the international position of the National Government has declined, causing an increased feeling of insecurity and concern for the future."
August 27, 1957
Special National Intelligence Estimate Number 43-2-57, 'The Prospects of the Government of the Republic of China'
This document was made possible with support from Chun & Jane Chiu Family Foundation
Analysts at the CIA write that "the National Government remains politically stable and the economy of Taiwan continues gradually to improve. The military establishment is growing stronger, but Nationalist forces alone could not defend their territories against a full-scale Chinese Communist attack."
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