Browsing: Equilibrium

The Decay of the Nash Equilibrium in the Taiwan Strait

For decades, stability across the Taiwan Strait rested on an uneasy strategic bargain. Beijing claimed Taiwan must eventually unify with mainland China while avoiding the catastrophic risks of military force. Washington supported Taiwan’s self-defence while maintaining unofficial ties with Taipei and preserving strategic ambiguity. Taiwan consolidated democratic institutions, expanded economic connections, and resisted subordination without…