(CNN) -- Taiwan's economy slumped 8.36 percent during the last three months of 2008, the government said Wednesday.





People line up to receive $108 U.S. dollars worth of shopping vouchers in Taipei, Taiwan, last month.





The island's economy spiraled into recession with its second straight quarter of economic losses. For the third quarter of 2008, Taiwan's real gross domestic product (GDP), adjusted for inflation, slipped about 1 percent, according to the Directorate General of Budget, Accounting and Statistics.





Behind the dismal economic numbers is a global recession that is sapping demand for the products Taiwan makes.





"The types of exports that Taiwan ships to the West -- electronics -- are very severely affected, very sensitive to changes in Western consumer sentiment," said Frederic Neumann, a senior Asian economist for HSBC.





The GDP numbers are the broadest measure of Taiwan's economic activity. A recession is defined as two consecutive quarters of falling GDP.





Taiwan's central bank, in a move to boost the economy, on Wednesday dropped its key interest rate one-quarter point, to 1.25 percent.





Since the end of 2007, the central bank has lowered rates by more than 2 percent.





In January, the Taiwanese government offered the island's residents up to $108 each to go shopping, in another attempt to stimulate the economy.





More than 90 percent of those eligible took up the offer, pumping about TW $86 billion ($2.6 billion) into the economy and sending shoppers to malls, officials said.
how much is offered  to residents? Which economy is now in recession? How much did the government offer residents in January? what followed Slump of 8.36 percent? who is in recession now after second straight quarter of losses? How many straight quarters of losses were there?
up to $108 Taiwan's $108 each receive $108 U.S. dollars worth of shopping vouchers Taipei, Taiwan, second
question: how much is offered  to residents?, answer: up to $108 | question: Which economy is now in recession?, answer: Taiwan's | question: How much did the government offer residents in January?, answer: $108 each | question: what followed Slump of 8.36 percent?, answer: receive $108 U.S. dollars worth of shopping vouchers | question: who is in recession now after second straight quarter of losses?, answer: Taipei, Taiwan, | question: How many straight quarters of losses were there?, answer: second