As a result of Japan's forfeiture in World War II, joy and happiness flooded all over Taiwan; people were passionately involved in political activities. However, due to the oppression of the Chen Yi authorities and nostalgia...etc, Taiwanese local elites did not inherit the spirit of the opposition party during the Post-Japanese period, nor did they organize a local party to become part of the political force; instead, they devoted themselves to Kuomintang and Chen Yi's government force, giving up the opportunity to organize their own party. However, these local elites were soon turned down by Kuomintang Government as it fell into degeneration and corruption. The occurrence of the “228 Incident” on 28th of February 1947 reflected not only the failure of Kuomintang's rule, but also the end of Taiwanese people's hope. Taiwanese local elites were prosecuted. From this point on, the political affairs in Taiwan entered the age of “White Terror”. At this critical point, Taiwan would either become democratic or despotic; had there been an opposition party willing to challenge the governmental authority, rapid forming of despotic system after “228 Incident” might have been changed. However, after the “228 Incident”, Taiwanese local elites suffered heavy casualties, and were under Kuomintang's surveillance, thus there was no opportunity for them to organize a local party. At this crucial point, the Chinese Democratic Socialist Party that came to Taiwan with the Kuomintang Government made an attempt to set up a branch. It was an occasion not only for this party to prosper, but also to trigger the democratic growth in Taiwan; yet this Taiwan branch failed to grasp this opportunity, and fell into a serious power struggle, besides, it was unsuccessful in breaking up the Taiwanese people's mental fence of political indifference after “228 Incident” to build up anti-Kuomintang force, thus failed to organize a powerful opposition party to counter the Kuomintang. Finally, the Kuomintang intelligence agency penetrated the Chinese Democratic Socialist Party, intervenes with the internal conflicts, enhances disunion, and eventually caused the collapse of the party, after which, the Chinese Democratic Socialist Party fell short to establish its impact therefore achieved nothing remarkable. The Taiwan branch of the Chinese Democratic Socialist Party was found at the crucial point of power transferring. However, as a result of certain setbacks, it failed to play an influential role in Taiwan's democratic politics and as a result this led to the failure of Taiwan's democratic system. Hereafter, under the control of one-party dominant system of autocracy and martial law, Taiwan entered its longest winter in history.