The Taiwanese presidential election Saturday of either Kuomingtang (KMT)'s Ma Ying-jeou or Democratic Progressive Party (DPP)'s Frank Hsieh will likely bring further economic integration between China and Taiwan. The China-friendly KMT favors deeper economic ties with China than the DPP, but both parties appear to be leaning toward economic liberalization policies such as relaxing the control on the 40% of capital cap on Taiwanese investment into China, facilitating tourist travel, and allowing the struggling Taiwanese banking sector to invest in China. Signs from Beijing indicate they are also willing to support increased economic ties.

Snapshot asks, will greater economic ties bring Taiwan closer to China's political orbit?

JPMorgan Chase - Taiwan: the post-election economic landscape
Bloomberg - Taiwan Election Will Thaw China Ties, Sooner or Later
Financial Times - Taiwan Reverses Ban on China Investment
Hoover Institution - Election 2008 and the Future of Cross-Strait Relations