The Bull & Bear, December 2011

HMB Addresses Senate 3

l’Academie’s Business Model 7

Frats in Management 8

Effusion in Technicolor 11

The Bull & Bear A publication of the

McGill’s Management news since 2003

MANAGEMENT UNDERGRADUATE SOCIETY

The end is nigh! Good luck on exams and see you in 2012.

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December 2011 • Volume 9 • Issue 4

AN END TO THE STRIKE?

MUNACA and Administration reach tentative agreeement David Lin and Chris Conery

A

tentative agreement was reached yesterday between MUNACA and the McGill administration. In an email sent last night McGill VP Administration and Finance, Michael Di Grappa, wrote that the two parties “have agreed with a conciliator’s report that sets out the terms of a comprehensive five-year contract.”

According to a source from the Public Service Alliance of Canada (PSAC), who wishes to remain anonymous at this point, the bargaining team has been working on this agreement since last Friday. He believes that “this is good news,” although the exact details of the agreement have not yet been released.

MUNACA workers will vote

on this resolution over the next few days.

Students speaking with The Bull & Bear all share similar sentiments of relief, for different reasons. One student, who wishes to remain anonymous, told us, “I empathized with the protesters, although I didn’t really understand what their cause was, but I am happy for them to be back to work. It may seem kind of selfish, but I am happy to finally be getting my student loans.” He adds that “It is pretty clear that the agreement is going to be lose-lose. Knowing they reached an agreement, the administration must have given in to at least some of the demands. This means money is going to come out of [students’] pockets, and [there will be] less money for research, professors, and students.”

Visit bullandbear.ca for updates on this agreement.

Kapil Mehra | The Bull & Bear

What happened at the Prince Arthur Herald? P2

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News

2 The Bull & Bear Alex Pajusi Executive Editor Ian Burke Cameron Lead News Editor Ivan Di News Editor David Lin Lead Opinion Editor Jessica Simmonds Opinion Editor Kristine Pinedo Lead Lifestyle Editor Chris Conery Lifestyle Editor Kunal Shah Photo Editor Manuella Djuric Advertising Director Michaela Hirsh Ad Coordinator Sean Alex Finnell Online Editor Michael Horowitz Layout Editor Olivia Siu Marketing Director Rodion Gusev Special Advisor Staff Writers Elana Cipin Dann Bibas Tarun Koshy Dan Sorek Dan Novick Andrea Zhu Yina Zhou April Wu Sameer Rizvi Max Waterous Alvira Rao Christian Sullivan Siddharth Mishra

Ian Burke Cameron, Lead Editor ian@bullandbear.ca

Mass Resignations at Prince Arthur Herald Controversial articles cited as reason for significant staff departure Ian Burke Cameron Lead News Editor

T

he Prince Arthur Herald, an online Canadian student newspaper founded by two McGill students, has come under public fire in the past week for two pieces published on November 16 and 18. The backlash from the pieces has seen the resignation of a significant portion of the Herald’s staff, including four of seven section heads and many contributors.

The piece that has drawn the most attention has been an article entitled “Same Sex Adoption is not a Game.” The article was written by Rick Fitzgibbons, a Pennsylvania-based psychologist and adjunct professor at the Pontifical John Paul II Institute.

While the opinion expressed in the piece – that the adoption of a child by a same-sex couple is detrimental to that child’s development – is not that of the editorial staff of the Herald, many of those resigning expressed their discomfort with the decision of the managing editor, Rebekah Hebbert, to post the piece.

One former writer, speak-

ing with The Bull & Bear on the condition of anonymity, stated that they were “disappointed and offended by the content of the article,” and went on to question the integrity of the editorial process that saw the piece published.

The remaining editors, however, defend the publication of

realm of fair comment. One former editor told The Bull & Bear that respecting free speech did not obligate the publication to affiliate itself with pieces of this nature, saying, “Some segments of the Herald had a conception of the Herald as offering a platform for alternative viewpoints

“As university students, we have to give all opinions a fair hearing” the piece. Prince Arthur Herald co-founder Brendan Steven explained that the Herald was and is intended to “provide a home for all of those viewpoints which otherwise were not being given a full airing on campus.”

The resigned staff members, however, do not agree. A number of former contributors were clear in their distinction between the right to free speech and the

that aren’t expressed elsewhere; others thought there should be a limit to that.”

Steven, in response to such comments, stated that, “There is not an insignificant number of people who hold the author’s view…I feel as academics, as university students, we have to give all opinions a fair hearing, to make judgements about their value, and to engage with them

honestly. It’s important that, as students, we absorb it, that we encounter it.”

Fitzgibbon’s piece was published by the Herald through a syndication agreement with Mercatornet, a website dedicated to “reframing ethical and policy debates in terms of human dignity.”

The article has also drawn fierce criticism from readers, registering 59 comments on Facebook, all but a few of which condemn the article.

Despite this, the article had registered 698 “likes” by Tuesday night – more than twice the number registered through Mercatornet. This makes the article one of the most popular pieces in the Herald’s substantial collection.

While the mass resignations have left the Herald with a significantly smaller staff, they continue to operate as before, and its management has been quick to fill some vacant positions. In the wake of such controversy, the editorial board has put in place a slightly more rigorous vetting process for all articles, though their intention to provide a medium through which many opinions can be heard remains intact.

Photographers: Amélia Couture Holly Sherlock Kapil Mehra Jordana Cohen Nicole Himelfarb

The Bull & Bear is an editorially autonomous newspaper published by the Management Undergraduate Society of McGill University. Editorial opinions expressed in the Bull & Bear are the sole responsibility of the Bull & Bear’s Editorial Board, and are not necessarily those of the University, MUS or their officers. The Bull & Bear is not responsible for the delivery of any goods or services sold or advertised through its sponsors or Business Directory and is not liable for loss or damage of whatever nature and extent resulting directly or indirectly from any use of the information made available by the newspaper and sponsors.

December 2011

Always Online. bullandbear.ca The Bull & Bear

News

Ian Burke Cameron, Lead Editor ian@bullandbear.ca

3

Principal Heather Munroe-Blum Addresses McGill Senate Hour-long discussion exposes heightened tension between student representatives and McGill Administration April Wu News Writer

F

ollowing the tuition hike demonstrations and the entrance of riot police into the McGill campus on November 10th, an hour of November 16th Senate session was devoted to discussing the aftermath of these events and the Administration’s plan of action. The session began with Principal Heather Monroe Blum addressing and apologizing to the McGill community regarding the events of November 10th, stating, “It is very clear that it was a very troubling day, and we are all dismayed by what transpired on our campus. Help us regain balance as a university and work together as a healthy, safe, and secure community.”The session then proceeded to allow senators to have an open discussion.

Senator Tom Acker noted that, “Students no longer feel safe. The fundamental problem is the lack of trust – a severe distrust of the McGill administration. How are students supposed to feel safe on a campus where their voices are not valued or heard?”Issues were also raised concerning the McGill security. “I was in the James Administration Building (while

Photo courtesy of lapresse.ca

Principal Heather Munroe-Blum addresses the senate.

“It was a very troubling day, and we are all dismayed by what transpired on our campus” the riot police entered to usher both the occupiers and staff out of the building) and nobody was informed. We need set procedures to deal with sudden crises, in order to avoid becoming sitting ducks in a far more serious

situation,” commented Senator Haley Dinel.

Matthew Crawford, identifying himself as one of the fifth floor occupiers, added, “The security play a role that is integral to this university. They cannot at

any point lay hands on students.

They must give their names and licenses. They cannot wantonly call the police when a clearly peaceful demonstration is going on. Their interaction with students must remain a tone that is protective, not cruel.”

However, not all members of the gallery agreed with Senator Crawford’s claim of a “peaceful demonstration”. Professor Anthony C. Masi, the provost, recounted the situation inside the James Administration Building. “People may turn their backs on the truth, but women in the office were pushed and shoved and filed incident reports. Many people were trapped in the stairways and couldn’t get out because of the human chain, not because of the police.” The Provost’s account was met with cries of “Lies!” from the gallery and student gatherers yelling “Shame on McGill!”

Despite this interlude, the gallery unanimously expressed appreciation of the We Are All McGill event on Monday, November 14th. Professor Darin Barney of the Faculty of Arts suggested that the administration initiate a process whereby James Square is renamed Community Square and that November 10th

shall be recognized as Freedom Day at McGill, in which we remember the events of that day and recognize the importance of dissent, freedom of speech, and opposition of violence on campus.

The administration has undertaken several processes to offer support and allow students to share their experiences. Principal Blum announced a live webcast session, in which she will address any questions regarding November 10th submitted to her by the public. She has also asked the Dean of the Faculty of Law, Daniel Jutras, to conduct an independent internal investigation regarding the events in and around the James Administration Building on November 10th. Principal Munroe Blum calls upon all faculty and students to contribute to Dean Jutras’ inquiry, and notes that his report will be made public and open to discussion.

With regards to the investigation that Dean Jutras has to undertake, several senators expressed reservation that this investigation will be enough to reckon the events of the 10th.

“The investigation is a good start but it is certainly not the end,” one Senator concluded.

McGill Deemed Financially Stable by S&P David Lin Lead Opinion Editor

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ast Monday, November 21st, Standard and Poor’s issued a press release reaffirming their “AA -” rating on McGill University’s long-term issuer credit and senior unsecured debt with an outlook of “stable.” The AA- rating suggests that McGill has a “very strong capacity to meet its financial commitments.” The AA rating is the second highest rating S&P issues to institutions and it differs from the highest rating, AAA, by only a small degree.

These ratings reflect the institution’s ability to fulfill its longterm debt obligations, which is an indicator of the institution’s financial health and viability.

According to S&P credit analyst Paul Judson, “The ratings reflect our opinion of the university’s excellent student demand and research profile, and good and consistent government supDecember 2011

port.” The report finds that McGill has superb selectivity – its first-year acceptance rate (percentage of applicants accepted to the freshman class) in fall 2010 was 45%, which was consistent with previous years and is the lowest among its Canadian peers, except for Queen’s Univer-

that McGill will recover from the financial crisis and generate a “modest surplus” in the medium term. A failure to satisfy these expectations may cause S&P to downgrade their current ratings.

McGill retains its strong link to the Quebec Government. In the fiscal year of 2011 (the 11

McGill has a “very strong capacity to meet its financial commitments” sity. S&P also granted McGill a “stable” financial outlook, conditional on the credit agency’s expectations that “McGill’s student demand and research profiles will remain strong and that government funding will not diminish within the two-year rating horizon,” as well as the expectation

months ending April 30, 2011), about 38% of the university’s revenues came from grants from the Province of Quebec. The province is also responsible for the funding and administration of $566 million of debt that McGill has issued. In the same fiscal year McGill received more than

$680 million in research grants, a third of which came from the federal government. However, one reason for McGill’s high ratings is the university’s “greater tuition-setting autonomy and moderate debt [levels],” indicating that part of the university’s financial viability lies in its ability to flexibly alter its tuition rates to accommodate changes in the economy. The fact that a large portion of McGill’s funding comes from the provincial government is also a potential threat, as a relatively undiversified revenue stream compared to McGill’s rated peers, coupled with a history of operating deficits constrain ratings.

S&P gave McGill a similar ranking compared to its Canadian peers. Comparable universities include UBC (AA+/stable outlook), Queen’s University (AA+/negative outlook), University of Toronto (AA/negative outlook), and University of Western Ontario (AA/negative

outlook).

S&P’s credit ratings provide a relative ranking of an issuer’s creditworthiness, with issuers of a higher credit rating being judged by the agency to be more creditworthy than an issuer of a lower credit rating. S&P defines the term creditworthiness as “the question of whether a bond or other financial instrument will be paid off according to its contractual terms.” The rating methodology takes into account primary and secondary credit factors. The foremost primary credit factor is the issuer’s likelihood of default, which is defined as the issuer’s capacity and willingness to pay.

An issuer of a high credit rating, such as McGill, is unlikely to default on its debt. One secondary credit factor is credit stability; an issuer of high credit stability is less sensitive to macroeconomic shocks that may deteriorate its capacity to meet its financial obligations.

The Bull & Bear

4

Monthly Markets

Ivan Di, Editor ivan@bullandbear.ca

The Great Currency Debate: A Reality Check Fei Qui Markets Writer

C

himerica,” a term coined by the famous historian, Niall Ferguson, in his book The Ascent of Money, illustrates the incredibly codependent relationship between US and China.

China supplies the US with cheap goods, at the same time China supplies the US with the money to buy these goods. Although it may seem smart on China’s part, China actually foregoes a higher domestic standard of living for its own people, since it has to pay higher prices for imported goods due to its undervalued Renminbi. China has been consistently devaluing its currency in order to maintain its export advantage, and it does so by buying excess amount of foreign currency and selling the RMB on the foreign exchange market. The result, a huge foreign currency reserve which leads to high domestic inflation in China. Meanwhile, on the other side of the world, China became the scapegoat for the high unemployment rate and massive trade deficits. The Republican presidential candidate, Mitt Romney, basically signaled during the presidential debate that he would lead a trade war with China by “launching a combative relationship with Chinese leaders and attack their currency and trade policies.” The inevita-

ble question here is: Who is being unreasonable, US or China?

There are currently two main opposing arguments regarding China’s devalued currency in the US. One of them emphasize on price competition with cheap Chinese goods, which hurts American producers and destroys jobs. The other one focuses on the benefit of being able to purchase Chinese goods

and private savings in the US. The current nine percent unemployment is caused by the housing market collapse and the lack of investment in productivity for long-term economic growth. If the fundamental structural problems are masquerading as an undervalued RMB causing unemployment and trade deficits, then pressuring China to revalue its currency in order to fix the

in the short term. What this will do is catastrophic. A sharp RMB appreciation will lead to a sharp decline in exports and rise in unemployment. The damage here outweighs the benefit. Therefore, the Chinese government targeted a tightening policy instead.

The reality is that RMB has appreciated by more than 30 percent through a managed float since it was depegged from

China actually forgoes a higher domestic standard of living for its own people. at a price that is much cheaper than otherwise produced domestically. Realistically, neither argument is correct by itself.

The Yuan was pegged to the Dollar at a low exchange rate until 2005. On one hand, Chinese goods are cheap for those buying with the Dollar, but on the other hand it is very expensive to buy Dollar-based goods with Yuan.

No wonder why Chinese imports are low and exports high.

But the undervalued RMB is only a small portion of the cause of the US trade deficit and high unemployment. The root of the problem is structurally built into the American economy. A trade deficit with China is mainly attributable to the lack of public

problems in the US is basically equivalent to prescribing extra strength Tylenol to treat brain cancer. Unfortunately with the election coming up, and with unemployment as the number one issue, candidates must use whatever tools at its disposal to appeal to voters. It seems that any argument that proposes solutions for job creation is good politics, whether it be true or not.

China has its own arguments are well. Inflation in China is a major issue and one that could be eased with the appreciation of the RMB. However, Chinese officials pointed out that reducing domestic inflationary pressures would require a sharp increase in RMB’s appreciation

the Dollar. On June 19th 2010, China announced that the RMB would be pegged to a basket of currencies including the Euro, the Yen, and the British Pound.

Since then, China has allowed it currency to steadily appreciate by 0.5% a month due to continued pressure coming from the US and its other trading partners to ease its currency policies.

Since 2009, RMB has appreciated against the Dollar by 17 percent in real terms, 4 percent nominal. The market expects a 4.5 to 5.5 percent appreciation in RMB against the Dollar in 2011; RMB has already appreciated 3.35 percent since January.

But wait, let’s back up a bit here. Have we forgotten how

dependent we are on China for economic recovery? It just seems ridiculous for the US to spark a trade war with its largest counterparty during a time of global economic slowdown. China’s secretary general, Wei Jianguo, said that rapid appreciation of the RMB would slow exports in 2012, during a time when global economy is already experiencing huge decline in output. Also, how much does the RMB appreciation really help the US economy, other than making its foreign debt burden even heavier? While the US is fixated on its own stance for RMB revaluation, Europe has a different stance. During the G-20 meeting, European officials are reluctant to place too much pressure on China’s currency policies as they have been trying to persuade China to invest in the rescue fund. Chinese officials, too, have expressed that Europe’s debt crisis is the priority.

The two sides of the great currency debate both have its merits. But the fact of the matter is, China is an important contributor to the current standard of living that we enjoy. Is the blame on China for our trade deficits and unemployment problems justified? This question can only be answered with an unbiased introspective examination of the US economy.

Pacific Rim Economies Meet in Hawaii Magrid Awad Markets Writer

This past November leaders from the Pacific Rim gathered for the annual Asia-Pacific Economic Cooperation (APEC) summit in Hawaii. Given the current precarious state of the global economy, the primary issue on the agenda was to seek a free trade deal, with APEC countries hoping that by lowering trade barriers they would foster growth in the region and thus help counteract the slow economic situation present in many other parts of the globe. Below are a few highlights of this year’s summit, but before that, some background knowledge: Established in 1989 to respond to the growing interdependence of pacific economies, APEC’s goals are to facilitate sustainable economic growth in the Asia-Pacific region by promoting market liberalization and ecoDecember 2011

nomic cooperation between its members. Since its inception, it has grown to 21 member countries, which, according to the 2010 Kyoto Report on Growth Strategy and Finance, represent 54% of world GDP and 44% of

could seek to carry alone...”

US president Barak Obama announced the broad details of his administration`s proposed free trade zone known as the Trans-Pacific Partnership (TPP), with the hope that by lowering

interest in joining the TPP after engaging in side talks with Obama in Honolulu, highlighting the importance of Asian economies to Canada. In addition the two leaders discussed the Alberta to Texas Keystone

The primary issue on the agenda was to seek a free trade deal. world trade. With those statistics in mind, it’s apparent that the region can play a significant role in improving the global economic situation; as Prime Minister of Malaysia Najib Razak said, “[the Pacific Rim economies] have an enormous responsibility for supporting the wider world, a responsibility that no one nation

barriers and strengthening intellectual property laws the TPP can increase US exports and world trade. So far there have been 8 countries involved in the negotiations, with Japan and Mexico expressing interest to join the discussions.

Canadian Prime Minister Stephen Harper also expressed

XL pipeline issue, with Harper expressing disappointment in the US’s delay of the 7 billion dollar project, and further saying that the delay will cause Canada to look to the far east to sell their energy products. Canadian Finance Minister Jim Flaherty repeated the same warning, saying, “We’ve got to go where the

trade is...we have great friends in the Asia-Pacific community and this is a tremendous opportunity in the long-term...” Currently the United States consumes essentially all of Canadian energy exports according to Natural Resources Minister Joe Oliver.

Not surprisingly, the issue of exchange rates also came into focus during the summit, with Obama telling Chinese President Hu Jintao that many American businesses were growing “increasingly impatient and frustrated” with the current situation.

Representatives from the 21 member organization said that they will refrain from competitive currency devaluations, and APEC finance ministers released a statement showing their intent to “move rapidly” towards market based exchange rate systems.

The Bull & Bear

Ivan Di, Editor ivan@bullandbear.ca

Monthly Markets

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Stock Pitch: Telefonica European valuations with emerging markets growth Siva Shanmugam Thangavelu

About Telefonica Telefonica is a Spanish diversified telecommunications group and it is the largest Spanish multinational company by market capitalization. Telefonica is present in 25 countries with a significant presence in Spain, Europe and Latin America.

Telefonica provides both fixed and mobile telephony services through its telecommunications networks and it is the 5th biggest telecommunications group in the world. Telefonica has a strong brand name and was selected by Fortune magazine as the most admired Telecommunications company world-wide.

Recent Developments Telefonica recently expanded on its position in the Chinese market through its alliance with China Unicom and acquired a further $500 million dollars’ worth of China Unicom bringing its total holdings in China Unicom to 9.7%. Telefonica also strengthened its position in Latin America. It purchased

$760 million dollars’ worth of Vivo, giving it full control Vivo.

Vivo is Brazil’s biggest mobile phone company. Besides fortifying its position in emerging markets, Telefonica also saw its revenue grow by a solid 5.4% y-o-y and free cash flow in the first 9 months also grew by 11.6% y-o-y.

of 2.19 while the industry average is 11.29. It is also trading close to its 52 week low of $16.89.

However, when we dig deeper, we realize that Spain only accounts for 28% of its sales, with more than two thirds coming from overseas markets. By region, Latin America is actually the biggest contributor to key

banking on rapid growth in these emerging markets to counter any possible slowdown in Europe.

However cash flows of telecommunications companies are usually resistant to adverse effects caused by economic difficulties as telco services have low elasticity in demand. Hence the risk that Telefonica will face signifi-

Spain only accounts for 28% of its sales, with more than two thirds coming from overseas markets Investment Thesis As the title of this article suggests, the rationale for buying Telefonica is that it is suffering from European valuations whilst it can at the same time benefit from growth in emerging markets. The markets have heavily punished Telefonica because its main domicile is Spain which is suffering from debt problems and economic instability. Telefonica has a Price/Earnings ratio

financial metrics. For example, Latin America accounts for 46% of Telefonica’s sales and it is the region that is driving growth for Telefonica. The Latin American subsidiary of Telefonica experienced a record number of customer additions, 4.9 million, in the third quarter 2011. This is an improvement of 160% over the same quarter last year. By bolstering its position in China and Latin America, Telefonica is

cant revenue contraction in Europe is low.

Given its attractive valuations and growth prospects there is still one major risk that Telefonica faces: its debt levels. It is one of the most heavily leveraged companies in its peer group. It also has the lowest ratio of Operating Income Before Depreciation and Amortization (OIBDA) to long term debt.

What this means is that it would

take the most time among the major Telco companies to pay off its debt if its operating income was devoted solely to that purpose. To illustrate, Vodafone could completely pay its long term debt in just over half a year.

However, with the low interest rate environment likely to persist in Europe, Telefonica will benefit from lower debt repayments. It can also roll-over existing debt to take advantage of the lower interest rates.

In short, The European debt crisis has presented several benefits to Telefonica such as lower interest rates and a weaker currency. With the bulk of its revenues coming from overseas markets, even the scenario of a weaker Euro currency is beneficial to Telefonica as its profits will be boosted from currency conversions. The Euro crisis has hurt its valuations as Telefonica has tumbled along with the Euro indices. However the market has overreacted and presented us with an attractive opportunity to buy into a stable company with attractive growth prospects in emerging markets.

China Reluctant to Participate in the EFSF & Fund the Eurozone Bailout Sameer Rizvi Markets Writer

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ollowing the G20 Summit on Financial Markets and the World Economy that took place in early November (3rd – 4th), doubts are rising as to whether the Chinese are willing to produce funds and purchase Eurobonds, thus helping with the bailout of the Eurozone.

The European Financial Stability Facility (EFSF), created on 9 May 2010, is a “special purpose vehicle” financed by members of the Eurozone to combat the European sovereign debt crisis.

Having already made one of the largest contribution to this fund (€89.7 billion), France and its President, Nicolas Sarkozy, have been urging the Chinese to agree to contribute to this proposed €1 trillion EFSF firewall.

According to Sarkozy, China has “60 percent of global reserves” and should invest in the euro rather than the US dollar.

Sarkozy, who is standing for a

December 2011

further term as president next year, has portrayed himself as the best leader to reduce France’s sovereign debt.

Prior to the summit, the Chinese finance minister, Zhu Guan, said: “There are no concrete plans yet, so it’s too early to talk about further investments in these tools.” With €2.4 tril-

lion in foreign exchange reserves – roughly a quarter of which are believed to be held in euros – China is being asked to contribute between €40 billion and €80 billion to the EFSF or a new special purposes vehicle fund set up under its auspices in collaboration with the IMF. The Chinese government,

although a firm believer that this rescue fund, already part of China’s portfolio, is an “important tool” with which to address the sovereign debt crisis, is visibly skeptical as to the amount it is willing to contribute, if any at all. Vice Finance Minister Zhu said that it is too soon to discuss bond purchases from

Chinese investors find it increasingly feasible to invest in Eurobonds

the EFSF, as there is not yet any concrete proposal for the future structure of the EFSF. If anything, the postponement of the EFSF’s EUR3bn suggests it will be challenging just to convince countries such as China and Japan to continue buying bonds issued by the EFSF as possible increased leverage in EFSF also raises questions about the credit quality of the EFSF. Evidently, the falling credit ratings of the very many Eurozone countries, in particular, Greece’s recent drop to CC by Standard & Poor’s, has destroyed any Eurozone optimism that previously existed. As stock indices drop across the European board, Chinese investors (and government) find it increasingly feasible to invest in Eurobonds, participate in the EFSF, and fund the Eurozone bailout.

The Bull & Bear

News

6

Ian Burke Cameron, Lead Editor ian@bullandbear.ca

Dean Jutras Speaks of his Internal Investigation Dean of Law urges students and staff to come forward with testimonials Alvira Rao News Writer

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ollowing the events of November 10th, Principal Heather Munroe-Blum sent out an email to the McGill community announcing that Daniel Jutras, Dean of Law, would undertake an independent investigation with the aim of “review[ing] what happened” and “mak[ing] appropriate recommendations regarding practices, processes and policies within McGill University’s control and jurisdiction.” The deadline for the final report is December 15th.

Dean Jutras began collecting testimonies last week, and will continue to do so as long as necessary within his time constraints. In an interview with The Bull & Bear, Dean Jutras said that the investigation process was going well so far, and that he has been receiving statements – both oral and written – from “very

diverse” groups. “I’ve received representations from all groups – staff, students, professors, administrators…and I expect it to continue,” he said.

When asked about the findings of his investigation thus far, Jutras responded that the information was to be kept completely confidential until the publication of the official report. However, based on his investigation hitherto, he does feel that the report will benefit the McGill community as a whole. “Knowing the truth and avoiding multiple stories and representations going in divergent directions would help the community,” he said, “[It’s] a statement that I’m hoping will be viewed as impartial and truthful… a story [that the community] can rely on.”

Some, including members of the senate, have questioned Dean Jutras’ leading role in the investigation, as he is integrally linked to the administration.

When asked whether he feels

that students’ involvement in the investigation might have helped make it more balanced, Jutras responded that that was not a question for him to address. “I am not doing this as a member of the administration. I am doing this as a member of the McGill community,” he explained.

At the moment, Jutras’ mandate does not include forming an implementation plan following the publication of the report on December 15th. The objective of his task is to produce a “factfinding report containing appropriate recommendations about how we can move forward and avoid the risk of a recurrence,” he stated.

Dean Jutras encourages students, staff, administration and any other members of the McGill community to continue contributing statements. The more statements he receives, the more holistic a report he will be able to produce.

Photo courtesy of McGill University

Daniel Jutras, Dean of Law

CASCO Raises Thousands for Montreal Children’s Hospital Elana Cipin News Writer

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he annual charity event hosted by Commerce and Administrations Student Charity Organization (CASCO) was put on Friday November 18, raising thousands of dollars for the construction of the new Montreal Children’s Hospital.

The event, themed “A Night at the Movies,” was held in the spacious Telus Theatre, with on-stage performances paying tribute to movie scenes and soundtracks. The showcase kicked off with a singing number by Effusion A Cappella, and continued with choreographed dances by McGill’s dance troops and volunteer dancers. Established groups, such as Urban Groove, Dance Pack and Mosaica put on compelling dance routines. Brosaica, a group made up of dedicated Frat Brothers from the Alpha Psi Chapter, brought chanting and shouts of “I’m so excited” for their humorous performance to the stage, featuring lip-syncing to some movie favourites such as Lion King and Titanic.

CASCO committee members welcomed their guests all December 2011

dressed in black, with their hair and make-up done by one of the sponsors, Aveda. People were then ushered into the smoky downstairs area where there were opportunities to bid on silent auction items donated by sponsors, as well purchase raffle tickets. The MC’s drew many prizes throughout the show. McGill ghetto restaurant, Lola Rosa, was the biggest silent auction and raffle donor, with a cumulative retail price of $750 in giveaways.

The money raised for CASCO is to go towards building the new Montreal Children’s Hospital. One of the biggest construction projects in Quebec, its goal is its linkage to the adult hospital.

A representative from the Children’s Hospital explained that this would offer a kid-friendly environment, smooth transition and information sharing across hospitals, which would make it “The most modern and efficient hospital in Montreal.”

In attendance was CASCO founder Tuan Nguyen who told the crowd, “We’ve done over a million for charity.” CASCO was founded in Ottawa 12 years ago

by Nguyen as a charity for business students to apply the skills learned in class to raise money for

a good cause. It has since spread to Montreal, as well as globally to Brazil and Amsterdam.

“Parents help us keep going,” said Nguyen, who continued, “The more parents come out, the more sponsors come.” Although the audience was made up of a majority of students, there were many parents of performers in the crowd. The corporate sponsors were an important part of the show, with their logos displayed all around. Each performance was sponsored by a different clothing brand, and the entertainers could be spotted fashioning the trends, with many of the labels still on.

Although the money is still being settled, it can be estimated that around $15,000 was raised.

Although they were hoping to make more, they had trouble meeting goals due to receiving less financial support from the MUS Corporate Relations Team.

A few years ago CASCO made a $100,000 pledge over seven years, and in the first two years raised $54,000. This money will fund exam room in New Children, and because of CASCO’s continuing commitment, the room will be named after CASCO McGill.

Photos courtesy of Majd Steitieh

Performers on stage at CASCO: A Night at the Movies.

The Bull & Bear

Lifestyle

Kristine Pinedo, Lead Editor kristine@bullandbear.ca

7

BYOB: A Glimpse at l’Academie’s Business Model

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Amelia Couture | The Bull & Bear

l’Academie’s Crescent Street Location.

Yina Zhou Lifestyle Writer

G

eorge Cagianos, owner and founder of L’Académie, one of Montreal’s most popular restaurants, shares his success story with The Bull & Bear. Over the years, L’Académie has become firmly embedded in Montreal’s culture, expanding to serve avid diners at eight locations across the city and its outskirts.

Cagianos’ road to success was paved with double shifts, sweat and hardships. Having emigrated from Greece to Canada, he was faced with the decision of continuing his studies in medicine or embarking on a new career path. Due to the language barrier, he estimated that it would take him close to ten years to complete the program.

As he did not have the financial means to pursue his medical degree, he took on various jobs as a dishwasher and cook while waiting to “see what the future would bring.” Cagianos’ time in the restaurant industry earned him a managerial position at Armanda, a restaurant in Rosemère, and eventually led to his personal high-end Italian venture, Mistral, in 1981. In the early 80s, the bring-your-own-wine model for restaurants grew in popularity. As Mistral operated as a traditional alcohol serving restaurant, it could not survive, and so, L’Académie was born, taking full advantage of the BYOW model.

December 2011

Interestingly enough, Cagianos actually named the restaurant with the help of a police officer.

As is common for businesses, it was difficult to establish a trustworthy, reputable brand image, especially since advertising costs were not part of his budget.

He could only rely on word-ofmouth advertising, which in his opinion “is the best kind.” To differentiate L’Académie from traditional higher-end restaurants, Cagianos chose “minimalistic decor, nothing too extravagant.”

At the time, this decor matched the novelty of the BYOW model.

Half of the L’Académie restaurants are managed by operating partners, with the other half being under his direct control.

Cagianos considers himself lucky to have found the right people to help supervise his growing empire; however, he notes that “this did not happen overnight.” All of his operating partners came from within his establishment; those who “started from scratch as cooks and waiters”, learn[ed] the business” and if they proved themselves capable, were then promoted to a managerial position.

About a year ago, Cagianos launched the fast-food version of his restaurants, a new project which he calls L’Académie Express. He wanted to try out a simpler business model compared to the sit-down version which requires substantial overhead and a fleet of around 70 employees.

L’Académie Express, located in Carrefour Laval, only serves part

of his menu. Cagianos states that the two groups of target customers are driven by different needs.

Those who frequent L’Académie view it as “a dining destination.”

They plan ahead because a trip to L’Académie represents an outing.

Indeed, during the interview, reservation phone calls rolled in every five minutes. In contrast, those who go to L’Académie Express are driven by hunger, stopping for a meal after spending hours at the mall. As a result, the new fast-food version will not tarnish L’Académie’s brand image or cannibalize sales.

Due to their consistently delicious food and pleasant service, L’Académie seems to be doing relatively well compared to other fine dining restaurants despite the recent recession. Other restaurants with liquor licences typically charge three times the price for a bottle of wine. Therefore, by allowing his customers to bring their own wine, Cagianos argues that it is as if “the meal is free.” With that kind of value offered to customers, it is no wonder that L’Académie received the Consumer Choice Award every year from 2006 to 2011.

Cagianos embodies the selfmade man; someone who had an idea and was not afraid to try it out despite the sacrifices it would take. Instead of opening a Greek restaurant and remaining in his comfort zone, he decided to venture into the unknown complexities of French and Italian cuisine, a bold leap of faith that has undoubtedly paid off.

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Above, frosh participants at a party at the PKP house. Below, Zeta Psi members participate in CASCO and Right to Play Spinathon.

Photos courtesy of Zeta Psi fraternity

Lifestyle

Kristine Pinedo, Lead Editor kristine@bullandbear.ca

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Look closely and you’ll find frat influence throughout the MUS and its events Kristine Pinedo Lead Lifestyle Editor

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any of us came to McGill at least partly because social life exists here outside of the structured “Greek” system that is so popular at American universities. Much of this is largely due to the legal drinking age of twenty-one which limits American students from partaking in the kinds of activities that represent a normal Thursday or Friday night for most of McGill: going out to clubs and bars.

Despite this difference in social cultures, there is still a large Greek presence within our faculty. In fact, present and past fraternity members include a Management Senator, MUS VP Internal, VP Academic, VP Communication, various Board of Directors positions and even the MUS President. What contributes to this involvement and what is it that fraternity life is really like for management students? McGill’s lack of a large Greek tradition renders their purpose and structure unclear.

The Bull & Bear sat down with Phi Kappa Pi and Zeta Psi, two fraternities with large followings within the faculty, to get a better insight into this subculture.

Active members of Phi Kappa Pi, Aram Aharonian, Luis Javier Aguinaga, and Alex Mallory, and Zeta Psi brothers, Charlie DiGiulian, Adam Fagan, Joseph Feldman, and Chase Potter, explain their draw to the fraternity system as being based on friendship. McGill is not known for Greek culture, and in fact, Mallory notes, “It’s not something I ever would have thought to do December 2011

coming to McGill.” So what is it that attracts so many management students to the fraternity system? “It may sound cliché, but it really is a brotherhood.

It’s tough to describe, but it’s a friendship that is stronger than just that,” said Potter. Although each entered the fraternity system at a different point, they all cite the close and lasting friendships as the main incentive for joining. In such a large environment, it seems that the support system they receive from their brothers is what drives them to be involved.

The Zeta Psi brothers especially highlighted the importance

ferent careers. Fagan notes, “I’d be much more nervous about graduating and about my career prospects if I didn’t have that support structure. I have a much clearer picture of what I need to do and where I should look.”

Especially in the 2010 to 2011 academic year, Phi Kappa Pi was heavily involved with the MUS, and overall, had a considerable presence among the faculty’s student leaders. This appears to be a conflict of interest, and alludes to the fraternity stereotype of the “Old Boys’ Club.” However, Aharonian explains that this is simply part of his fraternity’s culture: “I like to

one participate in fun events like Frosh and Carnival, but they also “go for the all around…we want people to take their academics seriously and get involved to give back to the school,” stated DiGiulian.

The benefits of the fraternity system are sometimes shadowed by the negative stereotypes and culture of secrecy that shroud these exclusive clubs in mystery.

One example is the top secret pledging process, known to be time consuming and rigorous.

Although both fraternities declined to share the details of the process, they did explain that secrecy is important to them be-

I’d be much more nervous about graduating and about my career prospects if I didn’t have that support structure. of guidance from older brothers. Going through internship and job recruitment is stressful for every Desautels student, and many times we are left to do the research on our own, with minimal assistance from advisers who must guide hundreds of students. The lack of personal assistance leaves us feeling anxious and uncertain about our futures. To a certain extent, this is mitigated for those involved with fraternities. Alumni networks as well as current brothers are a major resource because they are always willing to help find extensive, specific information on dif-

hang out with people who make big things happen and get things done, and I saw a place where there were a lot of guys like that.

That’s why it may seem like we are so successful.” Phi Kappa Pi places substantial importance on being involved and it is “by virtue of being driven that we have the opportunity to get more of our brothers involved,” noted Aguinaga.

This sentiment is shared by the Zeta Psi brothers who spoke of their recent philanthropic efforts and their commitment to being involved within the faculty. It is encouraged that every-

cause it binds them together in their friendships, and because it is part of a tradition which they desire to uphold.

To the fraternity brothers, the pledging process is meant to solidify commitment and to build strong, enduring bonds with the new pledges. Aharonian noted that “the process is about bringing people together and instilling certain values which are fundamental to us.” All agreed that the process was well worth it, and that they would do it again if required.

However, others involved with Phi Kappa Pi did not en-

tirely agree with the sentiments of the PKP brothers. One source mentioned the paradoxical nature of pledging stating that “the process is meant to bring us all together to enhance the ‘brotherhood,’ but in the end it doesn’t always work that way. Instead, there were feelings of resentment from the pledges towards the brothers because of the difficulty of the process which was meant to prove that we were worthy of brotherhood.” Being yelled at and asked to do pushups is not uncommon during the process, and there really is no exit point except quitting. Nevertheless, it was noted that the pledging process is deeply enriching as “it makes the friendships and bonds special because they have to be earned and are difficult to obtain in any other way.”

The fraternity system should not to be taken lightly and is certainly not for everyone. Feldman shared that he originally went to many recruiting events for a number of McGill fraternities. “I originally wasn’t going to join because it wasn’t appealing, but as soon as I met this group is was kind of automatic.” This exemplifies what was explained as a matter of fit. DiGiulian noted that “you really have to find your place because every fraternity is different. Each has its own culture and feel so you need to find the one that you like best because each has its own unique characteristics.”

The spirit of a frat was perhaps best described by Mallory: “At the end of the day, it’s just nice to have two houses to go home to.”

The Bull & Bear

Lifestyle

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Kristine Pinedo, Lead Editor kristine@bullandbear.ca

Life After Bronfman Recent grad Mike Conrad shares his story Chris Conery Lifestyle Editor

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tudents attend university to invest in their futures and mitigate uncertainty with hopes of yielding higher returns from their careers. It is fascinating to hear from McGill alumni who, at one point, experienced the same anxiety as current students; one such alumni is Michael Conrad.

Conrad graduated from McGill in 2011, completing a Bachelor of Commerce with a double major in Finance and Marketing. Currently, Conrad works in Toronto as an investment banking analyst with Credit Suisse.

He conducts analysis that drives recommendations for Credit Suisse clients. “The job is time intensive”, but Conrad believes that when, “working with people whom you truly respect and enjoy spending time with, it can be an incredibly fun experience.”

Conrad’s belief in the importance of creating relationships with peers and co-corkers led to his heavy involvement in student life. His involvement began on the committee for GCC and U2CC, after which he became an ambassador, and eventually a committee member, for the McGill Management International Case Competition. However, his most valued experience came in his final year in Bronfman as VP Academic of the MUS. The broad nature of the position allowed him to take initiative and pursue initiatives that he is passionate about. Given the opportunity to realize your passion,

and supplied the resources and experience to know what to do about it are incredibly valuable for entering your career.

As a past VP Academic, Conrad believes that McGill does a great job teaching theory; however, he says there is always room for improvement at such a competitive institution.

“I would like to see McGill progress towards including a larger practical component in the curriculum. Specific to investment banking, I think the addition of the Applied Investment Banking course is a step in the right direction. But I think this emphasis on a practical education should encompass the entire faculty. Fortunately enough, I believe we have the student leaders and the faculty commitment to begin moving in this direction.”

The changing direction of Desautels academic structure is enhanced by McGill’s wealth of extracurricular opportunities which further contribute to preparing students for their careers.

Not only do extracurriculars allow students to explore their passions, they also work in conjunction with academics to develop practical skills that cannot be taught in the classroom.

Conrad attributes much of his preparation for the workforce to his extra-curricular involvement; however, he believes that more can be done to create stronger networks. Obviously, an academic establishment ranked amongst the top twenty universities internationally has the benefit of a prestigious network of alumni. Yet more can be done to

connect students to fellow McGill graduates.

“I think that our students have a lot to learn from past graduates, and their education would benefit significantly. I’m encouraged by the steps the faculty is taking with regards to this initiative, by bringing alumni in for discussions, and in beginning to use alumni as career resources. I think this is a much needed step, and will benefit current and future students if this progression continues.”

With such a renowned name, will a McGill degree help students gain a competitive advantage over other university graduates? Conrad says maybe.

Being branded with the McGill seal opens a lot of doors internationally, which leads to a broader set of opportunities relative to other Canadian universities.

Career services is committed to doing a great job “working with students to make the necessary changes so that Desautels can compete, and exceed, the recruiting performance of other top business schools.”

Conrad expresses high hopes for what is to come, and is excited for the new resources now becoming available to students. This includes the newly featured Career Resources Portal that gives students the tools to work with MyFuture, and extended resources for learning about different career opportunities.

Conrad identifies three changes Desautels is moving towards. These changes represent three big steps for student

Soumia Zehri | The Bull & Bear

2011 BCom graduate Mike Conrad.

investments, and a huge leap for increasing their ‘returns-oncareers’.

Conrad provides advice to help students cope with uncertainty. “My number one piece of advice is to find a career you’re truly passionate about. Your first job is the springboard of your career, and determines its trajec-

tory. If you don’t find something you’re passionate about, you’re going to have a hard time putting in the time and effort required to be successful. So take your time, and find something that truly excites you. If you do, the rest will take care of itself.”

Factory Bar: High Class with No Pretensions Dan A. Novick Lifestyle Writer

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actory Bar, a relative newcomer to the St. Laurent bar and club scene, has quickly distinguished itself as a popular destination for students and professionals alike.

Launched in October 2010, the modernly decorated Factory Bar embodies a certain level of class without the level of pretension present in other establishments. “We need a level of class on this street. I wanted to do a sports bar, but high end with no pretensions. People can come in running shoes, but we need to keep it St. Laurent style too, with a nice decor,” noted co-owner Antonie Bordelau, who was preDecember 2011

viously employed by Buananotte resto-bar on St. Laurent and is thus already familiar with the St. Laurent scene.

This is emphasized in the business model of Factory Bar, which is in many ways a threein-one: a sports bar, a trendy restaurant, and a chic club; each appealing to a different but interconnected target market.

“Before midnight, I want the corporate crowd for hockey, and after midnight, we just party with everybody. It’s nice, because we have students mixing with everybody,” says Bordelau.

Factory emphasizes a certain type of networking to advertise its establishment most effectively. Bordelau recognizes that when you have a restaurant or bar, you can advertise and

spend money to your heart’s content, but the best promotion is what you do individually, as an owner and a person. He also acknowledges the growing impact of social media on advertising. However, “there is no better promotion than you talking to people directly, face-to-face.”

Bordelau admits the growing importance that owners and managers play in the business process. “You need to create something [special] with people here.” He networks on a large scale, meets a lot of people and obtains their contact information. He then communicates with his large network of business and personal contacts and invites them to Factory.

Factory utilizes advertising services such as Zoom Media,

and signs contracts to host free staff parties for advertising agencies in return for funding. In order to minimize costs, Factory recently secured a contract to host a $5,000 Christmas party for Zoom Media staff free of charge, and in exchange, Zoom Media will provide Factory with $15,000 worth of free publicity.

Factory prides itself on its drink specials in order to deliver value to its customers. For example, on Thursday nights, there are 2-for-1 deals on mixed drinks and on its house beer, and on Friday nights, there is an open bar for ladies from 11pm to 2am. Every night, they sell Factory beer made by Brouemont Brewery for $5 per pint. In order to secure broad market appeal, the dinner menu offers a wide ar-

ray of delicious options at every price range. “The students can still have a pint and eat a poutine, while the other people can eat a steak, say, with a pint of Heineken. I did my research in order to bring everyone here.”

After midnight, the lights dim and Factory is transformed into a chic nightclub. It is usually packed on Thursdays and Fridays and serves as a popular and trendy destination for Montreal students to socialize and meet new people. While Factory makes more revenue from corporate events, they recognize the importance of securing a strong base of student loyalty. Bordelau explains, “Students are not going to be students for all their lives.”

The Bull & Bear

Lifestyle

Kristine Pinedo, Lead Editor kristine@bullandbear.ca

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Effusion A Cappella in Technicolor April Wu News Writer

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oving and grooving while belting out soulful renditions of Bob Marley, Alicia Keys, Destiny’s Child, and more, has always been the trademark of McGill’s premiere a cappella group, Effusion A Cappella. Their fall 2011 concert, In Technicolor, held at Le National in the heart of The Village, was a two-hour auditory treat comprised of Effusion classics, as well as many fresh arrangements.

The show’s theme was inspired by Technicolor, the additive color motion picture process of the same name. “We always have a concert committee and part of the group wanted to do a black and white theme, but the other half wanted a color theme.

We compromised by choosing Technicolor as our theme because it involves exposing black and white to colors,” said Rowan Spencer, President of Effusion A Cappella.

Effusion made their entrance dressed in crisp, contrasting black and white, but during the second set of the show, candy colored cocktail dresses, powder blue dinner jackets, and vibrantly colored bowties dominated the stage. Zara Jestadt, VP External of Effusion and member of Effusion’s concert committee said, “Wardrobe was definitely the biggest challenge of the show, but it adds to your confidence and charisma while performing.”

Jestadt’s jazzy solo of Duffy’s “Mercy”- an instant Effusion classic - and Spencer’s heartwrenching delivery of Leonard Cohen’s “Hallelujah” blew the crowd away. The segment showcasing the talents of their basses and beat boxers, cleverly titled “Back to BASSics,” was also a crowd pleaser. The four basses of Effusion - Jordan Benjamin, Kevin Lee, Maxwell McLarty, and Steven Whiteley - performed a dubstep cover of Foster the People’s “Pumped Up Kicks.”

One of the most memorable performances of the night was Effusion’s arrangement of The Verve’s “Bittersweet Symphony” remixed with Jay-Z’s “Dirt off Your Shoulders” which featured the rapping talents of newcomer Jordan Benjamin.

“We’ve never had a member who’s done that many raps in one show,” noted Spencer.

Effusion recently celebrated their 12th anniversary and, although it is not the oldest a cappella group on campus, they are certainly the most competitive December 2011

Photos courtesy of Effusion A Cappella

Performers on stage at Effusion A Cappella: In Technicolor at Le National theatre.

and well known. To maintain the quality and legacy of the group, Effusion undergoes a rigorous selection process for their new members. Hundreds of hopefuls audition for Effusion A Cappella, but only a small handful are chosen. “We emphasize that people can stay longer than one year.

When we choose our newbies, we don’t just look for skill, but also leadership qualities.”

Jestadt confided that “The music is our legacy. We make the new members do a lot of extra homework in extending their repertoire and learning songs we’ve done since Effusion’s inception.”

To differentiate itself from the other a cappella groups on campus, Effusion “places more emphasis on movement, and moving and grooving while we sing. Not only do we look at the audience while we perform, but we focus on looking at each other

and communicating with each other,” Spencer pointed out.

“We focus a lot on words. Incorporating the chorus is a large part of our performance and we try to give every part a singing line, even our basses,” Jestadt added.

After the excitement of the successful fall show, what’s next for Effusion? “We want to record some singles next semester in preparation for our fourth album. We will also be preparing for our spring concert. Our music director, Andrew P. Wang, has a million arrangements in his back pocket, so the next concert will have an entirely different feeling than In Technicolor,” said Spencer.

Whatever it is that Effusion is planning for the New Year, they have got us beggin’ them for mercy from their sweet sounds and energetic performances.

The Bull & Bear

Opinion

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David Lin, Lead Editor david@bullandbear.ca

Between a Rock and a Hard Place: Women Reporters in the Arab Spring Jessica Simmonds Opinion Editor

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n light of sensitive and volatile protests occurring abroad, it becomes increasingly important to get first-hand footage of the political change as it happens. For most reporters, it is considered an honour to be assigned coverage of the uprising in Daraa, or the anti-Gaddafi capture of Tripoli. However, if the reporter in question is a Western woman, it has come to everyone’s attention that she is likely in more danger than a man would be. On November 25th, 2011, French TV journalist Caroline Sinz stated publically that she had been “subjected to sexual aggression in front of everyone in full daylight” while reporting in Egypt’s Tahrir’s Square – known to be the most active site of protest in Cairo. Following her announcement to Agence French Press, in which she detailed how she was molested in a way that “would be considered rape” for “three-quarters of an hour”, Reporters Sans Frontieres released a statement urging international news media to halt the dispatch of women to cover the situation in Egypt.

The same week, a second woman journalist Mona Eltahawy, stated she was sexually assaulted during her twelve-hour detainment by Egyptian security forces, resulting in two broken wrists.

Only hours after posting the message, RSF was forced to withdraw it due to public outcry regarding the limitation of women’s freedoms that the statement

implied. RSF later expressed that media organizations should instead “make the security of their reporters and local correspondents their priority” due to the fact that it is “more dangerous for a woman than a man to cover the demonstrations in Tahrir Square.”

The issue of women reporting in hazardous environments has been raised since CBS correspondent Lara Logan’s brutal assault in February of this year.

While most people clearly do not condone these attacks, dialogue surrounding Logan’s incident in particular has been tinged with sexism and racism. Numerous

racists.

The Islam-bashing based on Logan and Sinz’s horrible assaults is unfounded. It is my opinion that the men involved in these attacks are monsters not because of their religion, but because of their blatant disrespect of others’ bodies. Furthermore, the mob mentality that forms in such a charged atmosphere is something to be feared – not only in terms of how rapidly people can be hurt, but how it exists in all areas of the world. For example, in June of 2000, the National Puerto Rican Day Parade held every year in New York City brought forth the sexual assault

Muslim men should expect to be raped. That kind of victim blaming is, in its entirety, disgusting. A less extreme and perhaps more prevalent form of it appears when women are urged to watch what they wear before they attend a social gathering. How many times have I been told to avoid short skirts lest men think I’m “asking for it” when some entitled jerk cops a feel?

A survey conducted by the Egyptian Center for Women’s Rights found that 98% of foreign women, and 83% of Egyptian women have been sexually harassed in Egypt. According to the Sexual Assault Centre Hamil-

The issue of women reporting in hazardous environments has been raised since CBS correspondent Lara Logan’s brutal assault in February of this year. right-wing bloggers have cited the attack as evidence of embedded Islamic misogyny. Popular online persona Sister Toldjah described Logan’s molestation to be “direct result of a religion and a culture that treats women as no better than chattel”. The amount of people in agreement was and still is overwhelming, with usergenerated comments purporting slurs against Muslims and Arabs booming. While Caroline Sinz’s experience did not ignite the same media frenzy, the same racist threads of discussion again stigmatize Muslims as primitive

of 47 women. Dozens of men were identified as suspects, each presumably feeding off the actions of the others.

Perhaps what is to be reminded of by the assaults of Logan, Sinz, and those at the parade is that women are consistently targeted in these attacks, and that they are afterwards pegged as too uptight, as attention seeking, and as stupidly walking into an unsafe situation. To add insult to injury in an intersecting racist-sexist train of thought, there have even been assertions that any Western woman who goes into a crowd of

ton Area, 51% of Canadian women report having experienced at least one incident of sexual violence after the age of 16, while 4 out of 5 female undergraduate students at Canadian universities report having experienced violence in a dating relationship.

Moreover, according to 2007 Canadian police-reported data, 97% of those accused of sexual offences were male. While sexual violence against women in Egypt is severe to an alarming degree, rape and sexual assault are as embedded in Egyptian culture as they are in Western ones.

This discussion begs the question: would fewer women reporters be assaulted on the job if only men were sent to these dangerous areas? Ultimately, in the context of assigning women to cover high-profile stories in unstable areas, I don’t believe they should be limited. To discourage women from doing their jobs perpetuates the stereotypes of women as weak and vulnerable. On the other hand, I have no problem with women reporters deciding not to enter areas like Tahrir Square for their own safety. However, what I do have a problem with is the belief that women who do bring violence upon themselves. Logan was frequently described in the press as a blonde bombshell that tempted sexually repressed men by merely reporting in their presence. It is clear that women reporters have been treated by the media with a level of disrespect reflective of the way women are treated by and large in all societies. Logan and Sinz’s attacks cannot be looked at as singular cases – narrow analysis of what each has been through provides an easy route for anti-Islamic or victim blaming arguments, and perpetuates ignorance regarding women’s issues. What happened to these brave women did not occur because they were attractive Western women who ventured into perilous territory, it happened because sexual violence continues all over the world.

Violence against women is not inevitable, and men and women everywhere must work to prevent it.

We Are Not Sustainable Corporate greed cannot be the sole driver of growth Eli Freedman Contributor

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auding acts of corporate social responsibility as “good behaviour” on the part of corporations ignores more serious problems often perpetrated by these same companies, to which we ought to be focused as concerned citizens of the world.

Let us take the world’s largest retail chain as an example, Walmart. Evidently, the company has noble plans of becoming more sustainable, even striving to use clean energy entirely. As a society focused on the longterm health and well-being of our planet and its people, does this validate our support of Walmart’s operations? In degrees

December 2011

of wrongness, certainly this action by Walmart makes it less wrong, but it would be an error in moral judgement to conclude that the aggregate social and environmental impact of Walmart is anything but catastrophic— certainly not what we would call “sustainable”.

This is the same company which makes plastic toy-aftertoy, chewing up and spitting out the resources upon which our survival depends. It is designed in this way to consume ad infinitum, with most if not all its products destined to rest in a landfill someday. This wastefulness, not to mention the harmful chemical emissions caused by this crazed never-ending production process, is fundamentally unsustainable in its relationship to our

natural environment.

This is the same company which outsources the labour required to assemble said toys to the darkest corners of the world in terms of working and living conditions— treating human beings as mere inks of dot in the company’s overall balance sheet.

Walmart has built into its supply model a strategy which sources from a wide array of the world’s cruelest factories to work in, in order to keep costs low, in effect exchanging true human suffering and a hopeless future for many of its workers in return for “Everyday low prices” and endless profit. Such actions speak to a moral bankruptcy where human compassion never takes precedence over business or shareholder interests, fundamentally unsustain-

able for the welfare of the human species. It hardly gets better back home; this is the same company which undercuts and pushes out of town the local toy store which simply cannot compete with Walmart’s football-field sized stores with rock-bottom prices.

Such a result tears apart local communities and perpetuates greater wealth inequality, pushing society away from thriving.

It is time to hear a more critical voice in the Management faculty from both professors and students towards the effects of business on society and the environment. It is time to be more compassionate to the victims of our society’s corporate misdeeds, to whom “Labour Management” is not a program major but a lived existence, fraught with ex-

ploitation and abuse. Those who suffer to drive Walmart’s profits through the roof have no political or corporate power to remedy their situation, but we do.

Corporations have but one responsibility, namely to maximize profits, and have no conscience to sincerely weigh social equality or environmental sustainability as ends in themselves. But we, as human beings, do; we must be more compassionate and staunch in our criticism against corporations such as Walmart, until the suffering ends. We must air these silent voices. Human beings and the health of our planet are not dots on a balance sheet, and are not exchangeable for the limitless pursuit of profit.

The Bull & Bear

Opinion

David Lin, Lead Editor david@bullandbear.ca

13

Libya’s Arab Spring Will Yield Little Water Examining why democracy will not flourish in a post-Gaddafi Libya Tarun Koshy Opinion Writer

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t seems the new buzzword nowadays is “democracy” – Arab Spring style. On October 20, 2011, as grainy videos began depicting a seemingly expired Muammar Gaddafi, pundits and politicians around the world began harping on about the bright, rosy, democratic future in store for Libya. In the words of Libyan-American analyst Hafed Al Ghwell, the world views democracy for Libya as some sort of “magic pill” that will instantly cure all of the country’s malaises. Grand visions abound of Libya, like a butterfly emerging out of its cocoon, stepping into the twenty-first century with fair elections, a just legal system, and a Starbucks on every corner.

Yet what most people fail to realize is that countries are not like bed sheets: everything isn’t better once you give it a shake. These types of changes take more than one generation.

Let me make it clear that I do not support a forced democracy – not even a recommended democracy for that matter. In the case of Libya, a group of Libyan citizens moved to change the government and, with some external help, succeeded. NATO involvement was a gracious notion of support for freedom, but it is imperative that they now step back and let the Libyan people decide what type of government they want – a constitutional democracy, republic, parliament or monarchy. And with every Curly, Larry and Moe hypothesizing grand reasons why NATO got involved in the first place, any further NATO influence in Libya only fuels the fire of conspiracy theorists. Instead, Libya is a good opportunity to show that powers like the US, Britain and France

can get involved in another country’s government to the right degree – without getting too greedy for oil.

All things said, the choice of democracy presents a very rigorous path that may not have been given its due consideration.

While it is easy to voice support for promoting democracy in the newly liberated state, there are certain characteristics that make it especially difficult to implement. First, Libya’s history has been characterized by colonial and monarchial rule. From this background, moving to a democracy is, by no stretch of imagination, a simple, or even logical step. Take the case of the quintessential democracy – Britain.

While the Magna Carta was heralded as the birth of British democracy, three civil wars lasting a total of nine years had to be suffered before a republican commonwealth could be established.

Given the situation in the Middle East, a civil war in Libya would simply be taking a lit match to the gasoline tank NATO is currently sitting on. Not only would it damage the Arab Spring’s credibility in peacefully creating governmental change, but would also reinforce the point that Western powers like the US and NATO cannot properly handle involvement in another country.

The second reason is that Libya’s circumstances place too much pressure on rapid development. In our gloriously modern society, oil is a valuable commodity and, as many a pundit has made clear, Libya’s reserves place the country in a key position energy-wise. Furthermore, with poor climactic conditions limiting agricultural development, the starved state requires imports of food and water. The process of creating a democracy, in Libya’s case, will simply run

Photos from flickr

Rebel fighters pray and protest in Libya.

too slow to feasibly undertake independently.

International support, by way of either funds or humanitarian aid, is unsustainable for both sides given the current global economic situation and the strong dependence Libya will have on external support. Add the vying interests for control of oil exports, and no aid will be without strings attached.

The oil trading business is a highly powerful and profitable business. While Libya may not be the most free-market, Adam Smith-esque state in the Middle East, it won’t be long before the

country faces the pressure to increase exports from current wells. Furthermore, the lesson learned from the Saudi oil shocks of the 1970s only shows the Libyans how powerful their natural resources are to the world’s economies. At that point, why indulge in the long, bureaucratic inefficiencies of democracy when one has the rest of the world by the cojones? Saudi Arabia, being a non-democratic government holding an inordinate amount of oil wealth, is a prime role model for Middle Eastern exporters in this regard. As a result, it is cer-

tainly a strong case for Libya to emulate the House of Saud by allying with Western states yet maintaining iron control of the valuable commodity.

Finally, to assume that Libya is already on the path of democracy, and to dismiss the direction of this article as unrealistic would be a mistake. On October 23rd, NTC leader Mustafa Abdul Jalil announced the adoption of Islamic Sharia as the main source of law in the country, setting off news that is already raising the hairs on the necks of Western supporters. Rather than bogging down discussion by debating the philosophical nuances of the law’s legitimacy, one needs only to consider the potential for clashes against democratic liberties to demonstrate the weakness in assuming Libya’s democratic path. Take the issue of gender equality and inheritance, where a woman can only inherit half as much as a man can. While religious tolerance is certainly a good virtue to hold, it is simply appalling to allow if not foster environments that infringe on basic human rights, regardless of gender.

Obviously, it must be said that interpretation and implementation of Sharia can occur in varying degrees at the discretion of the Libyan government.

Furthermore, it is important not to fall into the trap of equating Islamic rule with negative connotations of authoritarianism, inequality and rigidity. Nonetheless, there is no doubt that there is strong potential for counterproductive rules being implemented in Libyan society. These decisions, coupled with the pressures of development and the influential effect of history and surroundings, represent a very significant fork in road of Libya’s developmental path.

Inside the Prince Arthur Herald resignations 24 Nov

Follow @MUSBullAndBear on Twitter for breaking news and stories December 2011

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Opinion

14

David Lin, Lead Editor david@bullandbear.ca

Lessons From a Baby What we’re doing to wreck our children’s future Dann Bibas Opinion Writer

W

ith her puffy cheeks, priceless smile, and a super-suave newborn hair-do, Danica Camacho would appear as the up and coming poster girl for Ralph Lauren’s new baby collection. Instead, the media is presenting this precious little gem as the go-to symbol for resource scarcity and the daunting challenges of rapid globalization. As if the world were absolutely fine with 6,999,999,999 people, but this single extra baby just totally pushed us over the edge.

While some expect the 7 billion mark to serve as the longawaited sputnik moment for policy makers to revamp the course of history into a more sustainable direction, I feel urged to remind them that if a melting ice cap hasn’t done so, a couple of extra unrecyclable diapers won’t.

Playing the blame game is never fun but if the world can

point a finger to a cute speechless baby in the Philippines, I see nothing wrong in searching for the real poster boy for an unsustainable world (insert Tony Hayward). In fact, it is my moral obligation to this defenseless baby to do so.

At first, it seemed as if my

and industry leaders as the scapegoats is certainly not representative of a more complex truth.

The corporation is as powerful as their consumers permit them to be. So are consumers really demanding change or are cheaper resource intensive products from China too good to turn down?

are] lavish lifestyles for a few, but poverty for too many others.

Perhaps what’s even more frightening than the present day environmental despair is the fact that Americans aren’t the only ones looking to play the part.

Individuals across the globe are eager to hop into their gas guz-

responsible for our deplorable environmental standing seems irresponsible.

So who is to blame for all of this? I don’t need to specify, you know who you are (Yes-that includes myself). The thought of eating less meat crosses our mind occasionally, but we still choose to continue living as careless carnivores. Some of us demonstrate a genuine intention to volunteer in nature conservation camps or eco-friendly initiatives abroad, only to build our itineraries around Full Moon parties and Summer Festivals.

As baby Danica sobs in the presence of flashing lights and a Nominal Three-year Four-year Cumulative Price Spending Debt Nominal Level paparazzi home Debt invasion, I have Gap Debt 0.00 0.00 a feeling her tears are stemming 1 36.63 36.63 from a much deeper source of1.00 51.02 86.47 87.65 1.02 87.05 170.30 170.30is crying 174.70 to 1.04 anxiety.

Perhaps she 70.05 200.04 236.64 244.75 1.06 all154.73 those who preceded 295.24 have 345.11 399.49her, 1.07 272.68 462.55 546.38 672.17 1.09 frantically begging the million300.91 666.06 732.40 973.08 1.12 dollar Why 1,283.54 are you1.14 310.46 question: 792.62 937.69 436.99 915.58 1,166.72 1,720.53 leaving me923.49 with 1,193.34 such a big mess1.17 333.55 2,054.08 1.20 442.40 1,013.76 1,285.39 2,496.48 to 1.22 but no planet-size dishwasher 449.21 999.23 1,373.33 2,945.69 1.25 clean 533.80 it? 1,140.35 1,418.11 3,479.48 1.27 603.66 1,241.96 1,603.86 4,083.14 1.30 Touché little kid, touché.

99.52 957.09 1,316.66 4,182.66 1.33

Using politicians and industry leaders as the scapegoats is certainly not representative of a more complex truth quest for candidates to alleviate the blame from Danica wouldn’t exactly require head hunting.

Corporate leaders placing profits before sustainability are the grand norm and not the exception. On the other hand, politicians promising to resuscitate economies into bright eras of green revival too often deliver jobless dark realities.

However, using politicians

Period

Year

Real Tuition

Nominal

Nominal

Inflation

Nominal Tuition with

Real

Tuition Constantpurchase Real Value Spending Most would agree that the latterChangezling vehicles, loads Gap 1,700.00 1,700 0 0.1% 0.00 remains the of red meat, cook on1,700 their 5000 0 1994 probably reasoning.

1,663.41 1,700 0 2.2% 1,737 36.59 1 1995 In addition to the stresses watt Viking grills only to then 1,650.12 1,700 0 1.5% 1,763 49.88 2 1996 1,616.17 nature 1,700 by 0 1.7% fancy dishwasher 1,793 83.83 3 1997 imposed on mother have some ful1,633.67 1,700 0 1.0% 1,811 66.33 4 1998 a growing UN1,700 Sec- fill old fashioned task 1,554.93 0 the tedious 1.8% 1,844 145.07 5 1999population, 1,448.86 1,700 2.7% 1,894 251.14 6 2000 retary-General Ban Ki-moon of00 cleaning after yourself.

1,430.15 1,700 2.5% 1,941 269.85 7 2001 expressed his greatest concerns In 2.2% a time when 1,984 the Ameri1,428.37 1,700 0 271.63 8 2002 1,325.90 1,700 0 2.8% 2,039 374.10 2003 for910the income disparities apparcan dream is no longer reserved 1,422.23 1,700 0 1.8% 2,076 277.77 2004 1,700 is 0 2.2% Sam’s beloved 2,122 361.90 2005 ent11amongst us:1,338.10 “Our world for Uncle neph1,340.44 1,700 0 2.0% 2,164 359.56 12 2006 one13 of terrible contradictions,” ews but2.2% attainable to2,212 more peo1,281.11 1,700 0 418.89 2007 1,236.49 1,700 0 2.3%history has2,263 463.51 2008 he 14said. “Plenty of food but one ple than ever per1,625.31 1,700 0 0.3% 2,269 74.69 15 2009 billion people go1,353.03 hungry. [There mitted, 1.8% holding a single 1,800 100 2,310 person 346.97 16 2010 17 18 19 20 21 22

1,356.91 1,557.85 1,750.40 1,934.79 2,111.28 2,280.11

2011 2012 2013 2014 2015 2016

1,900 2,225 2,550 2,875 3,200 3,525

100 325 325 325 325 325

2.0% 2.0% 2.0% 2.0% 2.0% 2.0%

2,357 2,404 2,452 2,501 2,551 2,602

463.66 466.73 197.24 -71.33 -338.95 -605.61 -871.29

343.09 142.15 -50.40 -234.79 -411.28 -580.11

Letter to the Editor: On Tuition Hikes and Protests Carter P. Smith Contributor

O

nce adjusted for inflation, McGill tuition pai’d by Québec students declined every year from 1994 until 2010. That $1,700 fee actually buys fewer lecture, maintenance, and service hours every year. Annual inflation — or the overall percentage increase in prices over the course of a year — averaged 1.8% per year over the past sixteen years. Whatever goods and services McGill could purchase with $1,700 in 1994 would cost $1,811 in 1998 and $2,357 in 2011. Assuming 1994 tuition covered the cost of educating Québec students, less government subsidies, McGill has incurred a deficit per student ranging from $36.63 for 1995 to $603.66 for 2008. A student who graduates with a three-year degree in 2012 will have cost McGill $1,156 in today’s dollars during his or her tenure. To cover this debt, McGill has several options: spend less, borrow more, or increase fees.

Even after two years of $100 increases, tuition actually remains lower in real value terms than in eleven of the past sixteen years. As McGill pulls in $325 December 2011

more per year per student, the purchasing power of that tuition will remain below 1994 levels until 2013. The $2,550 cash (or in economic terms, nominal fee) paid in 2013 for yearly tuition will buy only as much as $1,750 did in 1994.

What McGill student wants the quality of his education to decline? During my time here, I have seen fewer and larger class sections and increasingly limited access to conferences. Several of my Economics and Political Science professors have been forced to forgo Teaching Assistant-led conferences due to lack of funding. The world-class education we were promised seems ever more elusive with the endless tightening of McGill’s purse strings. As the economy grows, prices almost invariably go up.

For this very reason, most union wage contracts are tied to inflation in order to hold constant the actual purchasing power of income. Why should tuition not rise with inflation as well?

Whether you believe post-secondary Education is every person’s right or a voluntary investment, it has associated costs and benefits to the student and to the university. McGill is a world class institution because its students and professors are among

885.17 764.75 832.20 434.84 -143.05 -696.47 -1,226.18

1,304.06 1,228.27 906.90 781.81 200.05 -554.33 -1,276.58

4,646.31 5,113.04 5,310.28 5,238.95 4,899.99 4,294.38 3,423.09

1.34 1.36 1.39 1.42 1.44 1.47 1.50

Chart 1: Real, Nominal, and (Hypothetical) Inflation-Adjusted Tuitions

4,000.00

3,000.00

2,000.00

1,000.00

0

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

Real Tuition

600.00

Nominal Tuition with Constant Real Value

Chart 2: Gap Between 1994 Tuition Value and Real Tuition

450.00

Chart 3: Debt Accrued by McGill per Student

2,000.00 1,500.00

300.00

1,000.00

150.00

500.00

0

0

-150.00

-500.00

-300.00

-1,000.00

-450.00 -600.00

Nominal Tuition

1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016

-1,500.00

Real Spending Gap

1994 1997 2000 2003 2006 2009 2012 2015

Three-year Debt

*Stats Canada Inflation Through 2010: http://www40.statcan.ca/l01/cst01/econ46a-eng.htm **Midpoint of Bank of Canada inflation target range from 2011-2016 ***Québec Tuition Fixed around $1,700 from 1994-2010: http://www.westerngazette.ca/2010/02/25/quebec-tuition-freeze-fini/

the best and brightest of Canada and the rest of the world. However, the goods and services that support McGill have substantial costs that must be covered somehow. We must accept these nominal increases as necessary

to help bring McGill back to earlier levels of quality.

If you do not trust McGill to spend our tuition dollars prudently, there are more productive ways to resolve your grievances than protesting the increases.

Four-year Debt

By Carter P. Smith, Nov. 14, 2011

Fight instead for accountability in governance (look into the McGill Governance Reform Project). Or lobby your député to index tuition to inflation, thus fixing its real purchasing power.

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QPIRG Is In Need of Reform An on-campus student service should not be so narrow in its focus Daniel Sorek Opinion Writer

G

o back one year.

There they were, members of Conservative McGill tabling in the McConnell lobby.

They were quietly seated, handing out “opt-out” pamphlets to passers-by. It was only until members of QPIRG approached and overturned the display that people began to consider that someone had been offended. Yet what was the follow up to such an incident where one club felt it could demonstrate with such gall it was superior to another?

Indeed, no one would recall this incident leading up to the referendum whose results 1) mandated another five years of operation for QPIRG and 2) exempted QPIRG from the list of services students can opt out of online.

Many ought to find this deeply troubling if not shameful and must ask how a referendum meant to allow students to debate whether or not to continue funding a particular service became a tool for an organization to pur-

sue its agenda and elevate itself above its peers like the SSMU charity fund. A decision like this did not simply fall from the sky; it was borne out of a SSMU assembly resolution to modify a process that has since 1971 been first and foremost concerned with validating QPIRG’s work and not aiding it in its operations. Those who read my earlier article A more Natural Curriculum would see this as a clear act of positivism, in which farreaching decisions aren’t based in any ideology that’s meant to guide students over generations.

Rather, it’s merely a response to a specific event, namely the loss of funds since McGill made it possible to opt-out of all fees online.

There has yet to be an argument that establishes why QPIRG deserves such special treatment, although there have been QPIRG’s noticeable efforts in solidifying its status as a necessary service.

Benefits that QPIRG claims to provide include facilitating alternative student-led research.

Such, in fact, was the purpose behind QPIRG’s foundation. But a copy of their recent annual re-

port suggests nothing of the sort.

By their admission on frequent occasions, QPIRG’s efforts are largely based in “responding to attacks to its existence” and curbing the financial losses it had recently experienced. These are exemplified by the hiring of volunteer and fundraising coordinators as opposed to professionals who perhaps would contribute to research efforts. Furthermore, one can’t help but balk at the lack of explanation behind events like an “anti-oppression session” held for board members. What does such a session entail and how does it facilitate the research that QPIRG claims to support?

The same must be asked of other events like Radical Frosh, an alternative orientation for freshman to discuss “social, political, and environmental issues,” or Social Justice Days, where different clubs are brought together to discuss diverse issues as the effects of the Alberta Tar Sands on Native American life or how to mobilize students against tuition hikes and austerity measures. In each of these examples, all QPIRG seems to be doing is

funding outlets where students can voice and disseminate their particular views. They are merely encouraging activism that advocates their opinions and in no instance do they provide noteworthy or ground-breaking solutions to existing problems as research hopes to do.

These services certainly provide no benefit to anyone who is not affiliated or supportive of these clubs. Indeed, many students are continuously embarrassed and disgusted that QPIRG would fund an organization like Tadamon!, which uses “justice in the middle east” as a guise for supporting a terrorist organization like Hezbollah which is first and foremost concerned with killing Jews. In fact, Tadamon! has frequently argued for Hezbollah’s removal from the Canadian government’s list of terrorist groups. But by now, everyone should know this and people ought to question QPIRG’s existence as a middleman if they do support the dissemination of these opinions. Is it too much to ask of students that that they fund narrow activ-

ism without forcing their peers to do so as well?

I don’t think so. QPIRG has not proven itself in any way as being fundamental to student life because it does not produce anything unique and of standalone substance. All it does is funnel money towards pre-existing organizations with an agenda to push. And if students wish to support certain politics, they are more than welcome to do so but without my financial support until such time as QPIRG can demonstrate that it is a true forum for debate, learning, and ca present real research. Otherwise, the organization meant to provide students of all views with the resources to develop solutions to society’s problems will continue to be an outpost for passé fringe views. What a shame for an institution that I consider both a literal and proverbial example of a beacon on a hill. Hopefully in five years students will demand nothing less of its campus clubs and student services.

The Second Floor a photo blog by Holly Sherlock bullandbear.ca December 2011

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