Below is an article published by Taiwan Today:

Taiwan ranks highly in democratic change and market economy development, according to the latest Transformation Index BTI 2012 produced by Germany-based Bertelsmann Foundation.

On a scale of 1 to 10, Taiwan received a score of 7.72, the highest for all 128 countries surveyed, on the BTI’s Management Index, which assesses the quality of governance. On the Status Index, which explores the state of development achieved by countries under the rule of law with a market economy, Taiwan scored 9.54, second only to the Czech Republic at 9.61.

“Taiwan has remained a high performer in terms of democratic consolidation and market institutionalization,” the foundation said March 30.

Lauding Taiwan as one of Asia’s most vibrant civil societies, the report praised its free and fair elections, sound and reliable civic administration, and respectable human rights performance.

"Taiwan enjoys a very good human rights record according to all relevant international observer groups and there are no reports of unlawful or arbitrary use of state power against the population," the report noted.

Economically, Taiwan steered through the 2008 economic crisis remarkably well “because of resolute and efficient government crisis management and sound cross-strait economic interaction,” according to the report.

The foundation praised Taiwan’s active and successful cooperation in regional and international organizations, highlighting the significance of stable cross-strait relations and the political will on both sides of the Taiwan Strait to intensify bilateral cooperation.

Released biannually since 2008, the index measures how developing countries and those in transition steer social change toward democracy and a market-based economy.