The quick industrialization and rapid growth of Taiwan during the latter half of the 20th century has been called the "Taiwan Miracle". Taiwan is one of the "Four Asian Tigers" alongside Hong Kong, South Korea and Singapore.
Japanese rule prior to and during World War II brought changes in the public and private sectors, most notably in the area of public works, which enabled rapid communications and facilitated transport throughout much of the island. The Japanese also improved public education and made it compulsory for all Taiwanese citizens.
By 1945, hyperinflation was in progress in mainland China and Taiwan as a result of the war with Japan. To isolate Taiwan from it, the Nationalist government created a new currency area for the island, and started a price stabilization program. These efforts helped significantly slow the inflation.
When the KMT government fled to Taiwan it brought millions of taels of gold and the foreign currency reserve of mainland China to the island, which, according to the KMT stabilized prices and reduced hyperinflation. Perhaps more importantly, as part of its retreat to Taiwan, the KMT brought the intellectual and business elites from Mainland China. The KMT government instituted many laws and land reforms that it had never effectively enacted on mainland China. The government also implemented a policy of import-substitution, attempting to produce imported goods domestically. Much of this was made possible through US economic aid, subsidizing the higher cost of domestic production.
In 1950, with the outbreak of the Korean War, the US began an aid program which resulted in fully stabilized prices by 1952. In 1962, Taiwan had a (nominal)per-capita gross national product (GNP) of $170, placing its economy on a par with those of Zaire and Congo. On a PPP basis, its GDP per capita in early 1960s is $1353(in 1990 constant prices). By 2011 per-capita GNP, adjusted for purchasing power parity (PPP), had risen to
