Bull & Bear January 2012 by The Bull & Bear

JDC Coverage 3

Apple and Google’s Rivalry 4

Miss Chinese International Pageant 8

Kim Jong Il Dies 9

The Bull & Bear McGill’s Business Voice Since 2003

A publication of the

bullandbear.ca

January 2012 • Volume 9 • Issue 5

Happy New Year!

MUS Launches Elections Elections for the 2012-13 academic year will implement new features to increase voter turnout Hugo Margoc News Editor

he MUS elections for the academic year of 2012/13 will commence on January 13th with the Election Information Session to be held at 4 pm in the Bronfman basement. This year’s elections will utilize newly implemented features such as candidate debates, with the aim of increasing student involvement in the election process. The Bull & Bear spoke with current MUS President Dave Fortin to obtain an overview of the election process. The Schedule and Modus The election process is organized by the Chief Returning Officer Clement Chuong, along with the Deputy Returning Officers, who are independent from the MUS to provide for more transparency, and to prevent possible manipulation of the election by MUS board members. Voter anonymity is guaranteed by the use of the Salamander Voting System, the voting software used by the Student Society of McGill University, which eliminates the need to count and print ballots. Current VP of Internal Affairs, Shehryar Rajani, to whom Officer Chuong reports, oversees the event and communicates the process to the MUS. Continued on Page 3 CHECK US OUT ONLINE TO STAY UP-TO-DATE WITH THE LATEST NEWS AND EVENTS! @MUSBullAndBear

McGill’s Deficit Rises Expenditures outpace revenues in growth

growing reporting demands from the Quebec and the federal governments.”

David Lin Executive Editor

McGill is entering the New Year with a projected deficit of $6 million (compared to a surplus of $5 million in 2011), accounting to an accumulated deficit of $104.2 million. Several events during the 2010-2011 fiscal year contributed to the University’s tightening cash flow, including a diversion of $4.8 million from the operating budget to compensate for increased pension liabilities, an increase in the research budget from $3.9 million in 2011 to $4.4 million for 2012, and the urgent “deferred maintenance interventions” which saw a drawdown of operating funds to cover spending on renovation projects. Furthermore, McGill’s Treasurer anticipates that the cost of borrowing will increase from the average rate of 1.2% to at least 2.15% in 2012. Budgeting Objectives The University is working under difficult financial circumstances, citing rising administrative costs, salaries and tuition fees that are below the national average as the main reasons for this budget gap. To reduce costs, the University intends to lower the budget allocated for academic and administrative staff this year by 2.5%. In a report published by the Provost in May 2011, the budgeting objectives for 2012 are described as being “transitional” to fulfilling the Strategic Reframing Initiative (SRI), a framework launched in 2010 for the purpose of improving “key areas in the University’s administrative practices.” Under SRI, the following areas have been addressed as the primary areas of concern for the administration: cost efficiencies, enrolment mix,

Financial Performance McGill’s total expenses represented 92% of its total revenues in 2011, compared to 99% in 2010, and 101% in 2009. Salaries account for an average of 65% of total expenses, with payments to academic staff representing the largest portion of salary expenses at 39%, followed by payments to administrative and support staff at 29% of total salaries. Through SRI, the University projects that their budget will be balanced by 2014.

Illustration by Michael Horowitz

McGill’s financial future is met with a significant amount of turbulence

philanthropy, transformative research and innovation, and performance enhancement. According to the Provost’s report, McGill’s budget has five top priorities: “increasing compensation costs required to attract and retain talented faculty and staff, providing financial aid and support to our growing stu-

dent population, continuing to attend to our documented strategic priorities (including but not limited to such, areas as Green Chemistry, Broadband, Pain, Neuroscience, Social and Public Policy, Languages, literatures, and cultures,, and Genomics), maintaining adequately our physical infrastructure, and

News 1-3 :: Markets 4-5 :: Lifestyle 6-8 :: Opinion 9-12

Funding Sources The Ministère de l’Éducation, du Loisir et du Sport (MELS) is projected to provide 49% of McGill’s 2012 operating revenues, with tuition and fees accounting for 28%. The rest of the funding comes from funding from the federal government, ancillary services, endowment funds and gifts, and “other revenues,” which include the sales of goods and services, services to the community, and student services. The Quebec Government itself, McGill’s largest funding source, is also burdened with a deficit measured at $4.3 billion (1.3% of nominal GDP) as of 2009 – 2010 and is expected to only return to fiscal balance by 2013 – 2014 through aggressive cuts in public service payments and increases in Hydro-Québec rates. Despite this planned expenditure management, the Quebec Government plans to begin raising tuition fees starting in Fall 2012 by $325 per year, with a 35% holdback (reduction of the operating grant) for student aid.

Always online at www.bullandbear.ca

The Brief

2 The Bull & Bear David Lin Executive Editor Hugo Margoc Alvira Rao News Editors Tarun Koshy Opinion Editor Kristine Pinedo Chris Conery Lifestyle Editors Ivan Di Mohammad Awada Markets Editors Kunal Shah Photo Editor

Inter-Collegiate Business Competition Held at Queen’s Alvira Rao News Editor

he final round of the Inter-Collegiate Business Competition (ICBC), with participating universities from all over Canada, took place at Queen’s University from January 5th 7th. The competition, which included the brightest and most brilliant from each university, was divided into eight categories: Accounting, Business Policy, De-

bate, Ethics, Finance, Human Resources, Marketing, and Management Information Systems. The top six teams from the preliminary round in each category entered the final round. McGill entered the final round in the Finance and Human Resources categories. The competition was judged by “leaders from the respective industry” and sponsor representatives. Some of the most successful teams in the preliminary round included Concordia Uni-

Manuella Djuric Advertising Director

Kingston Banquet and Conference Centre. Susan Huang, a U3 Finance student from Desautels, told The Bull & Bear, “It was stressful and difficult to participate in, but at the same time it was a lot of fun to meet different people from around the world, as well as network with the judges and sponsored representatives”. For a detailed list of winners from JDC, please refer to the image on Page 3.

Jan 13th

Sean Alex Finnell Online Editor

Dave Fortin introduces the election modus and applicant qualifications.

Michael Horowitz Chief Layout Editor

Staff Writers: Stephanie Brownstein Katia Lvin Dan Novick April Wu Zain Alimohamed Rohan Arora Dann Bibas Ali Khan Julian Moss Avi Rush Carter Smith Dan Sorek Stephanie Thomas Emily Barber Sean Leslie Yina Zhou Andrea Zhu Magid Awad Henri-Luc Carlin Max Feinsot Alexandre Flamant Siddharth Mishra Fei Qi Sameer Rizvi Christian Sullivan Siva Thangavelu Vinay Vishwanath Max Waterous

versity, which was a finalist in six of the eight categories, Dalhousie University and Okanagan college, both of which were finalists in five categories, and University of Calgary and University of Regina, which were finalists in four categories. In the final round, participants were given five and a half hours to crack their case and present their resolutions to the judges. At the end of the second day of presentations, awards were given out at a banquet at the

MUS Elections Information Session

Michaela Hirsh Ad Coordinator

Olivia Siu Marketing Director

What not to miss in Management this month.

Winter Carnival Jan 15th - 21st “I never wanted children this early in life... but Carnival (especially Power Hour) is my baby.” - Andrew Van Niekerk

Second Floor Unveiling Jan 18th The long awaited Sandiford Library will soon be open to the McGill population

DBCS Jan 19th - 21st Attend lectures held by experts on sustainable business

Layout Editors: Michael Tong Alessandra Hechanova Matthew Hunter Photographers: Jordana Cohen Nicole Himelfarb Daichi Ishikawa JeanMoirez Fadi Tleel Ed Yao

Cancer Auction

McMUN

Jan 20th

Jan 26th - 29th

Take part in this live charity auction, and help make cancer history.

One of North America’s largest Model UN conferences.

Management Achievement Awards

Jan 27th Attend this exclusive luncheon and honour Canada’s top business leaders.

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 responsibil ity 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.

January 2012

The Bull & Bear

News MUS Launches Elections (Cont’d from Page 1)

Photo courtesy of MUS

The current Board of Directors, shown here, help improve the transparency of MUS’s operations

After the Election Information Session on the 13th, which will introduce the process and the application requirements for potential candidates, the nomination period will begin on January 20th and end February 1st. During this time, the candidates will have the chance to collect signatures and present their platforms around Bronfman. The voting period will commence February 6th and conclude with the announcement of the election results during the 4à7 on Thursday, February 9th in the Bronfman basement. The modus itself is slightly adjusted to generate more involvement. This year, the President, along with the academic representatives and the representatives to SSMU, will be elected in the general elections. Afterwards, those elected will be joined by the Management Senator elected through SSMU to form the Board of Directors, who will conduct interviews and appoint the MUS Executive Team that includes all the VP positions. A novelty will be the MUS election debates, in which competing candidates will face each other to answer questions about their competencies, present their platforms to students, and debate on various academic issues. Fortin hopes

that this added element will raise awareness and popularity of the elections, as well as garner as many student votes as possible. He further stresses the great opportunity the MUS offers, “Through this role with the MUS, I have learned more than in any of my courses in terms of managing people and managing projects. It is a great opportunity to gain real world experience and to shape the undergraduate experience of other BCom students.” Challenge for the Election The current Math and Statistics Representative to the MUS, Stamen Hristov, was recently offered an internship opportunity at an actuarial firm in Ontario, and thus cannot fulfill his duties with the MUS during the winter semester. According to the MUS constitution, in case of a midyear absence, a new representative must be elected within 15 days of the start of the term. Consequently, the election for the Math and Statistics representative for the period from February to May 1st will be held concurrently with the scheduled MUS elections. Thus far, information about individual candidates is not known. Check out http://bullandbear.musonline.com/ for updates on the election process.

Annual Jeux du Commerce Results

Five Desautels Academic teams placed on the podium Hugo Margoc News Editor

From January 5th to 7th, 13 Eastern Canadian universities competed in the areas of Academics, Sports, and Social Engagement at the annual Commerce Games, hosted by the University of Laval in Quebec City. The Bull & Bear spoke with MUS VP External Gaziza Tolkimbayeva , who organized McGill’s delegation to the Commerce Games. Tolkimbayeva, who was extremely pleased with the event organization, stated that there was a lot of work involved in preparing the Committee: “The Competition Committee has been working hard to put this together since June, so we made all the preparations in the summer. It was really well done this year; we had a good committee.” The event opened with a Welcome Gala on Friday evening, officially started with the first case crack on Saturday at 5:50 am, and ended with an awards ceremony on Sunday afternoon. The Academic component was composed of cases in 12 different scholastic areas. Winners of the 3 hour cases were determined based on a succinct, 20 minute presentation. The Sports

Photos by Fadi Tleel

Students show their spirit during the Jeux Du Commerce

Competition comprised of tournaments in soccer, dodgeball, and tchoukball while the Social Engagement component involved various events such as Mario Kart and a Scavenger Hunt. Judges observed the teams at all times and awarded scores based on creativity and improvisation. The McGill Academic Teams performed particularly well in the Games. The Organizational Management team, comprised of students Gaziza Tolkimbayeva, Eric Aboutboul, and Jessica Lewis, finished 2nd; International Business, involving Ava Yazdani, Nishank Thakur, and Sam Latham, placed 3rd. Entrepreneurship, with Alyssa Favreau, Frederick Dube Fortier, Anne Claude Gendron, ranked 3rd; Accounting, led by Maxime St Laurent, Julia Godolphin, Alistair Beaupre

INTER-COLLEGIATE BUSINESS COMPETITION

I.C.B.C. 2012 WINNERS the ACCOUNTING EVENT presented by ERNST & YOUNG

All your Bronfman news... Also available in 140 characters or less.

9 hours ago

October 2011

the business policy EVENT presented by level5

1 dALHOUSIE UNIVERSITY

1 Queensland university of technology

2 okanagan college

2 university of regina

3 uNIVERSITY OF bRITISH COLUMBIA

3 concordia university

Mark Allen & Jennifer Watson Michael Naito & Josh Widmann Dylan Callow & Alex MacGilliavray

the Debating EVENT

Ben Dunphy, Caroline Clarke and Emily Clark Andrew Polasek, Shannon Johnson and Kyle Derrick

Meaghan Foley, Juliya Regy and Kevin Chan

the Ethics EVENT

1 dALHOUSIE UNIVERSITY

1 okanagan college

2 Concordia UNIVERSITY

2 UNIVERSITY OF PRINCE EDWARD ISLAND

3 university of calgary

3 SAINT MARY’S UNIVERSITY

Samantha Begelfor & Lauren Michell Alison Revine & Greg Syndanidis Hardave Birk & Oliver Peplowski

Bianca d’Errico & Zach Webster Kathleen Van Ekris & Duncan Sturz

Arianne Amikhalkhali & Jonah Nguyen

3 okanagan college

Emily Johnson & Vanessa Wittel

the fINANCE EVENT presented by BMO CAPITAL MARKETS

the minerva health & safety human resources event

1 YORK UNIVERSITY

1 UNIVERSITY OF REGINA

2 University of manitoba

2 QUEENSLAND UNIVERSITY OF TECHNOLOGY

3 OKANAGAN COLLEGE

3 cONCORDIA UNIVERSITY

Matthew Lee & Mark Santos Rowena dela Torre & Raymond Huynh Steven DeBoer & Jessica Wilson

the MARKETING EVENT presented by TARGET

MUSBullandBear The Bull and Bear

came 3rd and finally, Stock Simulation, headed by Nicolas Bellemarre, Simon Pelletier, Marc Antoine Allen, and Tommy Labbe placed 2nd. McGill’s Social Engagement Team comprised of Cassandra Dambrosio, Aya Kadi, Tyller Hoffmeister, Daniel Sorek; came in 3rd. Lastly, the Soccer Team, featuring Jessie-Anne Voyer, Jonathan Bliss, Frederique Bouchard, Chase Potter, Felix Brisset, Nicholas Di Giorgio, Steven Mootin, Gaby Abou Merhi, and Hannah Rivkin; placed 4th. Despite their strong performances, the Games are accessible to all students. This year’s participants were selected through tryouts or Professor nominations, added Tolkimbayeva: “For academics, only students in Case Analysis and Presentation can be selected to compete. The Debate Team is open for tryouts. Sports, social, and volunteers have tryouts in the fall.” Furthermore, the MUS VP is very fond of interUniversity competitions: “Overall, competitions have a huge impact on McGill’s reputation, which is why we put so much emphasis on these events.”

Dale Diekrager & Laura Poure Rose Sanderson & Casey Jenkins

Isabella Matteo & Robin Sancton

the FLIP DEVELOPMENT MIS EVENT

1 uNIVERSITY OF CALGARY

1 Dalhousie university

2 QUEEN’S UNIVERSITY

2 University of british columbia

3 YORK UNIVERSITY

3 cONCORDIA UNIVERSITY

Courtney Tanaka & Lindsey Welch Lindsay Fisher & Alex Radu Angela Chen & Telly Carayannakis

Deanna Burke-Courage & Trevor Nelson Johnny Lee & Jennifer Vlasiu Chris Carpini & Northrop Sprung-Much

The Bull & Bear

Monthly Markets

4 Political Pressures Shut India’s Doors to Wal-Mart Sameer Rizvi Markets Writer

n the second half of November, the Indian government announced an agreement to make several market reforms aiming to expand foreign direct investment (FDI) in the subcontinent’s nearly $400 billion retail sector. The changes would have allowed single-brand foreign firms such as Nike or Adidas to assume a 100% ownership stake, and multi-brand retailers such as Wal-Mart and Carrefour a 51% stake. The impact of this agreement would seek to bolster a slowing domestic economy and slow the growing unemployment trend. However, less than two weeks after the momentous announcement, the government said it was bowing to mounting opposition and suspending the move. After a meeting with government and opposition party officials in early December, Indian Finance Minister Pranab Mukherjee told Parliament that the proposal would be put on hold until a consensus emerged. This surprising move may be compared to the Obama administration’s recent “Keystone XL pipeline cop-out,” demonstrating the potential that interest groups have to not only influence, but even counteract federal goals, leaving jobs and economic growth to languish. A Reuters report highlights declining FDI inflows in India. Clearly, the government is being pressured to implement stricter capital flows regulations, thus having an adverse effect not only on the job market, but also on the Indian rupee – the currency was rated the 3rd worst performing currency in the world in 2011. The Singh administration needs to think fast and act soon if it hopes to maintain its position as one of the fastest growing and emerging economies of our time.

Photo courtesy of MSN India

India’s consumers protest Walmart’s entry

January 2012

Mohammad Awada and Ivan Di, Markets Editors markets@bullandbear.ca

Uncertainty in Europe Looms Ahead Christian Sullivan Markets Writer

he financial turbulence of 2011 has set the stage for 2012 in Europe to begin without any concrete solutions, and many of the same problems as were faced last year across the continent. The year has begun without the final word on whether Greece will manage to hold on to its Eurozone member status. On October 31st of last year, then Greek Prime Minister George Papandreou announced his government’s intention to bring to referendum the matter of the terms of Greece’s Eurozone bailout deal. The referendum was supposed to take place in December of last year, or early this year, however the plan was scrapped after vehement opposition from both the Greek parliament and Greek citizens. Even with Papandreou gone, it seems that the withdrawal of

Greece from the Eurozone remains on the table for the debtstricken country. In October, EU leaders agreed on the latest €130 billion bail-out for Greece, on the condition that the Greek government makes further cuts to public spending, privatises more services and state-owned companies, and seriously tackles issues of tax evasion.

on Tuesday, January 3 that ”the bailout agreement needs to be signed, otherwise we will be out of the markets, out of the Euro.” The Greek parliament has already raised taxes and introduced spending cuts, but with the austerity measures required by the next bailout offer still unknown, Greece is asking itself just how much can be cut. Kapsis continued, “I also

I think that, for the moment, we are starting to have control over the situation Greece is still waiting to secure its second EU-IMF bailout, which will no doubt demand additional cuts that the Greek government will have to bow to. Whether Greece will be able to meet the terms of the new agreement is still yet to be seen. Government spokesperson Pantelis Kapsis told Skai TV

don’t believe it is easy to impose new taxes, but what does cutting spending mean? To close down the public sector? There is no easy solution.” Luc Coene, a Governing Council member of the European Central Bank (ECB) is confident, that even if Greece were to leave the Euro, the rest of Europe

would stand together to defend it from further degradation. “If the Greeks decide to leave, something that to me seems completely inconceivable... Europe will certainly stand shoulder to shoulder to protect the system,” he told the newspaper La Libre Belgique. Even with retail sales falling by 0.8% across the Eurozone in November, and unemployment rising to 10.3% with 587,000 newly unemployed added since a year previous, Mr Coene remains confident that Europe as a whole is taking control of budget deficits. “I think that, for the moment, we are starting to have control over the situation,” he said. As the turbulence and uncertainty of 2011 slips into recent memory, economists and politicians across Europe are warning of a more turbulent 2012, but a 2012 that will be more predictable and controlled, if such terms can be applied to the European crisis.

Apple and Google: This Century’s Coke and Pepsi Maximilian Feinsot Markets Writer

ot a question? Google it! Find an addicting song or funny video? Put it on your iPod. There is no question that Apple and Google are pervasive in our daily lives. They are the new Coke and Pepsi. While the twentieth century saw Coca-Cola and Pepsi rise from fledgling American bottling companies to worldwide conglomerates, it also saw the birth of current global giants Apple and Google. Introduced in the late nineteenth century, Coca-Cola and Pepsi Cola became popular soft drinks in the early 1900s due to a misguided popular health craze in carbonated drinks. By the 1970s, the two cola companies were in full competition in what became known as the “Cola Wars.” The Coca-Cola Company and PepsiCo quickly expanded into the snacks markets to extend their control over major parts of the food industry. By 2000, the “Cola Wars” cooled as CocaCola widened its industry dominance over Pepsi. While The Coca-Cola Company and PepsiCo still compete, their rivalry has matured and

Photo courtesy of Tarpon Wordpress

Apple TV, rumoured to be released later this year, spearheads the next generation of home entertainment

stabilized as both giants have expanded worldwide and slowed new market penetration. In their stead, Apple and Google have become the rapidly proliferating rivals of the world. But the relationship between Apple and Google was not originally competitive – Apple produced computers, mobile devices, and software while Google provided search, video, maps, and email services. Furthermore, their seemingly symbiotic relationship included a common rival: Microsoft. It is only after Google entered the Mobile OS market with its release of the An-

droid platform in 2007 that the Apple-Google rivalry exploded. Furthermore, Google’s $12.5 billion purchase of Motorola Inc. and the introduction of the Chrome Notebook only enflamed the burgeoning rivalry as the search engine giant challenged Apple in simultaneously in different markets. On the online music front, Apple has exerted widespread influence since 2001 with the release of iTunes in conjunction with the iPod. In response, Google unveiled its Android Music Marketplace last November, a direct move against the monopo-

listic iTunes in online music purchases. The next battleground for the two tech giants is television. With many former cable subscribers opting for cheaper internet-based services such as Netflix and Hulu, both Apple and Google intend to take a distinct piece of the very lucrative pie. Google has already made deals with television makers LG, Samsung and Sony – three of the largest television manufacturers – to embed Google TV into their hardware. At the Le Web Conference in December 2011, Google CEO Eric Schmidt announced that Google TV would be embedded in a “majority of the televisions…in stores” by the summer of 2012. Meanwhile, a biography of the late Steve Jobs written by Walter Isaacson has validated rumors of an Apple TV coming as early as 2012. As the tech world continues to revolutionize personal computing and information technology, the sky is the limit for Apple and Google as both giants continue to expand into the “next big things.” Coca-Cola and Pepsi limited the Cola Wars to food and beverages. While there is no doubt both Apple and Google will make a colossal splash in whichever industry they enter, is there any foreseeable limit? The Bull & Bear

Mohammad Awada and Ivan Di, Markets Editors markets@bullandbear.ca

Monthly Markets

Risks and Rewards of Investing in a Progressive Russia start searching for oil in less and less accessible places, like remote eastern Siberia or the Continental Shelf in the Arctic Sea. The only profitable way for corporations to do this is by receiving tax breaks from the government. Thus, government oil and gas revenues will take a hit in the future, and the price of oil will need to further increase in order for the government to maintain a balanced budget and avoid the persistent budget deficits that plagued the nation in the 1990’s.

Magid Awad Markets Writer

his past month there have been massive protests against Russian President Vladimir Putin, with demonstrators furious over alleged election fraud. Aside from these recent events, Putin has never experienced major opposition towards his rein, which is partially explained by the fact that Russia’s economy grew significantly since he took power as Acting President in December 1999; Russia has had an average annual GDP growth rate of over 5% since 2000. However, it is unclear as to whether the current regime will be able to continue to offer growth and rising income. Below are some issues to consider regarding Russia’s economic future: Oil

This natural resource has been the main driver of Russia’s economic boom in the past decade, and by 2008, accounted for almost a third of all government revenues. Additionally, high and rising oil prices have played a major role in Russia’s fiscal achievements during the boom years, as government oil and gas revenues helped create a series of structural surpluses since 2000, as well as

Source: World Banking Indicators-Tradingeconomics.com

helped pay off external debt and build up assets in the massive stabilization fund that allowed Russia to implement fiscal stimulus during the financial crises without large scale borrowing. However, this highlights Russia’s dependency on high oil prices, which a looming global recession would send crashing down. According to the international Energy Association, Saudi Arabia is on its way to surpass Russia as the world’s top oil producer by 2015, due to output at new Russian fields failing to offset declining production at maturing sites. Since Russia is a mature producer, it will have to continually open new drilling sites in order to prevent output from falling, which means it will

Sources: British Petrolium, Statistical Review of World Energy, 2009; and IMF, World Economic Outlook Production growth started to slowdown in 2005 and became negative in 2008, which suggests that oil production in Russia is nearing its peak

Dutch Disease When a country experiences a large natural resource boom, the real exchange rate tends to increase with rising exports from the resource sector and rising global prices, which consequently hinders the manufacturing sector’s global competiveness and performance. This is known as economist Paul Krugman’s Dutch Disease, and Russia exhibits some of the symptoms that call into question the sustainability of the oil and gas focused nature of their economy. The aforementioned points seem to paint a troubling picture for the Russian economy. These issues, along with Russia’s World Bank ranking as one of the most corrupt countries in the world, may hinder future foreign investment.

Embrace the Year of the Bear Qi Lai Contributor

t seems the sovereign debt situation does not come with an evident solution. Most Eurozone economies have suffered a marked slowdown in growth due to the acceleration of the sovereign debt and banking crises plaguing the region. Given these mounting dilemmas, economic analysts predict the potential shrinkage or even break-down of the Eurozone. With the high deficit and mounting debt levels of the PIIGS (Portugal, Ireland, Italy Greece, and Spain), the troubled states face the dilemma of solving their fiscal crises without spreading the impact across the union. While tightening government expenses and mass cost-cutting may be a potential solution to reduce deficit levels, the Great Depression of the 1930s demonstrates the unavoidable recession that would ensue due to the loss of revenues. Thus, external January 2012

aid and the reliance on other EU partners for these countries becomes critical. However, the core countries such as Germany and France are not willing to pay the price of high debt costs using defaultprone Eurobonds that would only add to the debt levels. Ger-

new capital requirements, the top Italian bank put to words a common fear that, should the Eurozone crisis worsen, the euro as a currency may ultimately be abandoned. “Concerns that the Eurozone sovereign debt crisis could worsen may lead to the reintroduction of national cur-

sovereign debt crisis is “here to stay” and could act as an anchor on the global economy, due to a contagion effect. Issues such as the unemployment rate in U.S. and potential risks on China’s economic stability will also contribute to more uncertainty in 2012. The

Concerns that the Eurozone sovereign debt crisis could worsen may lead to the reintroduction of national currencies in one or more Eurozone countries man weekly news source Der Spiegel reported on Saturday that “The IMF has growing doubts about Greece’s long-term ability to reduce its debts. The Greek government needs to accelerate its consolidation of public debts or else private creditors will see shrinking returns.” After UniCredit’s announcement of selling shares to meet

rencies in one or more Eurozone countries or, in particularly dire circumstances, the abandonment of the euro,” the bank stated. According to media reports, Britain is drawing up contingency plans in the event of a Eurozone breakup and some European banks have already set out to make preparations for the possible scenario. Consequently, the

latest labour-market snapshot, published on January 6th, saw US unemployment reaching its lowest level since early 2009 at 8.5%. Although this shows a temporary recovery on the job market, the unemployment remains high as more than 13 million employees continue to suffer from unemployment. China’s economy has also

started to show warning signs, most notably its weakening trade activity. In fact, the slumping European import represents more than a fifth of China’s export revenue. Furthermore, due to government-instituted low interest rates on bank deposits, investors grossly over-invested in the domestic housing market, creating a speculative housing bubble where booms inevitably breed busts as buyers recognize the artificial demand. Although one cannot determine how big the bubble is and when will it burst, it is showing signs of deflation. Overall, the prolonged global economic struggle with the Europe sovereign debt crisis and unemployment in U.S. will leave consequences that are likely to remain for years. Moreover, new risks are appearing in the Asian market such as China’s unstable housing market. With all these concerns, the global economy in 2012 has several clouds over the horizon and must endure several rainfalls before the sun will shine through again. The Bull & Bear

Lifestyle

Chris Conery and Kristine Pinedo, Lifestyle Editors lifestyle@bullandbear.ca

Hidden Gems of the McGill Campus Aliénor Lemieux-Cumberlege - Contributor

ast semester, I decided I didn’t want to fight the crowds to get a seat to get some Hardcore Studying™ done, and preferred to stay home with endless supplies of tea, an extra blanket wrapped around my shoulders, my Christmas tree and kittens. However, for those who have decided to brave the decidedly unseasonal rain and go study outside their house, here is a breakdown of some of the campus studying spots. Having lived in most of these libraries for the better part of last school year, I offer up my experience as advice to consider for the years to come and hope I won’t get killed for revealing people’s secrets.

Law Library Lawyers are scary people. Don’t drop your pencil, or you might get walloped by someone’s massive Penal Code book. The library itself is lovely, but the stress levels also run very high. If you are spotted wasting valuable studying space while on Facebook, you will be glared at. Pros: Lots of natural light, cool triangular windows, very neat architecture and nice big tables. Cons: Scary people who might growl at you if you drop your pencil – an actual occurrence.

Photo courtesy of Sarah Burke (Flickr) Photo courtesy of Scott Norsworthy (Flickr)

Shulich While Schulich is one of my favourite libraries during the semester, I usually avoid it like the plague during finals because the atmosphere of sheer stress and tension is enough to make me start freaking out in sympathy - it’s a scary place. Furthermore, it’s often over-heated (the fourth and fifth floor, next to the computers, are especially notorious). However, if you’re looking for a slightly less crowded and adequate-noise-level place, try the eClassroom on the fourth floor. It has computers at each desk (don’t use up a desk there if you have your own computer or are just going to do hand-written stuff, that’s not nice) and the volume is usually just-whispers, so you can ask your neighbour a question, but don’t answer your phone unless it’s to murmur “Hi, let me go outside” and run out. It does, however, get chillier in this room, so bring a sweater.

Photo by Fadi Tleel

Birks Reading Room Both beautiful and deathly quiet. You have to take your shoes off before coming in – bring clean socks if your feet are smelly – and water bottles have to be left on the floor next to your chair, but the room is so beautiful that it’s worth it. Don’t even dare raise your voice beyond the faintest whisper or the librarian will first glare at you and then come up to you and scold you loud enough for everyone to stare

while you apologise, feeling thoroughly mortified and supremely guilty for profaning the silence. Pros: Beautiful room, great stacks that you can sit in to do readings or quietly procrastinate on Facebook. Cons: Only open 1000h1800h, closed on weekends. Librarian is terrifying, though actually very sweet if you need advice

January 2012

FDA Labs Only work there during the night if you’re an engineer, and the security guards actually do check. Don’t go there if you’re in Arts, especially at night – people will grumble at you, and they need the special software on the computers more than you do.

Pros: Lots of computers, fantastic rolling-chairs, big windows. Cons: Lots of smart people to make you feel stupid. Stress and stupidity levels rise during finals.

Islamic Studies

Pros: You will be stressed into submission, so that you feel obliged to study. It also offers 24hour access. Cons: You will be stressed into submission, so that all you want is hugs and soothing noises. You also have to get there very early to get a spot.

Photo courtesy of McGill University

Photo by Fadi Tleel

This place is beautiful, and super, super quiet. While usually quite empty compared to the other libraries, it fills up during exam periods. While you have to look for a spot or really hope that someone will leave as you arrive, there are quite a few nooks you can tuck yourself into if you just want to sit and do readings.

Pros: Beautiful wood paneling everywhere, most book titles are in languages you can’t read, so you won’t get distracted looking at them. Cons: Small, study carrels fill up quickly. The stained glass windows can be very distracting because they’re quite pretty. The Bull & Bear

Lifestyle

Chris Conery and Kristine Pinedo, Lifestyle Editors lifestyle@bullandbear.ca

Where, oh where is one to study? McLennan

Photo by Ed Yao

I personally don’t like McLennan because I like having books somewhat nearby while in a library, and I think McLennan sucks the soul out of me. But it is huge (the library website boasts seating for over 2,000 people), and has lots of room, so you can probably find a spot in one of the

many parking lots of study desks on the various floors. You might not be able to find your way back to your spot after a coffee run, but hey, it’s part of the adventure. Pros: I’ll have to leave this to someone who actually likes the place – I guess it’s great that

it has room for so many people? And it’s open 24 hours, which is welcoming too. Cons: Soul-sucking, industrial study-space. Also, have you seen how ugly the building is? There are lots of nicer places.

Burnside Soulless, but Science students get free printing and 24hour access. The Geography library in Burnside is apparently lovely though, and you get a great view out the windows. Also, you get handy access to the Math Helpdesk (ironically located in Room 911). Photo by Fadi Tleel

Pros: Free printing! Helpful maths students to explain the wonders of life and numbers–related things to you! Cons: No windows in the basement (which is one of the only places to study). Burnside is also just a terribly glum building overall. Photo by Fadi Tleel

Blackader-Lauterman Commonly referred to as “the Hipster library”, it does have the advantage of being a quiet place to study. However, the constant checking-out of people at the other tables gets distracting, at least for me. People jokingly say that you have to be wearing plaid, oversized glasses and carrying a Mason jar of coffee to be allowed in.

Pros: Good light, quiet place to study, more books than in other parts of the Redpath/ McLennan complex. Cons: Levels of hipsterdom are astounding, to the extent that it sometimes seems more like somewhere to be seen than somewhere to study.

Photo by Fadi Tleel

Cybertheque Similar to McLennan, the Cybertheque is really, really soulsucking, partially because most of the room is too far from the windows to notice the passage of time, so you begin to lose track of everything. A good place for allnighters though, if you get there early enough to not be sitting on the floor all night; there’s some-

thing about the lighting that helps you not fall asleep quite as much, and the vending machines nearby will help keep you fuelled. LikeaLittle abounds on people’s computer screens, and it’s always fun to watch people’s heads shoot up when they think they might be the one mentioned in the most recent post.

Pros: Good for all-nighters, general atmosphere of stress makes you want to study. The café is open 24 hours during finals season. Cons: Getting slightly smelly because people have been living there for a while in addition to the soul- and time-sucking.

There are lots of other little places on campus and all over Montreal – switch it up! Aliénor Lemieux-Cumberlege is a Bull & Bear guest writer who co-authors the Wordpress blog The McGill Diaries. This article was previously posted on the blog and was submitted to The Bull & Bear. January 2012

Photo courtesy of SSMU

SSMU If you can resist the highly soporific effect of the couches in the SSMU lounge, they’re a good place to study. During the fall semester exam period, the lovely SSMU exec set up tables, chairs, lights and extension cords in the ballroom for the duration of finals – certainly a useful place to go when all else fails.

Pros: Tiki-Ming is nearby, as well as coffee from La Prep and smoothies from Liquid Nutrition to keep you fuelled. Cons: Couches are the comfiest things ever and may make you fall asleep instantly. Also, an overdose of MSG is probably a terrible way to die. The Bull & Bear

Lifestyle

Chris Conery and Kristine Pinedo, Lifestyle Editors lifestyle@bullandbear.ca

McGill Student Represents Montreal in Miss Chinese International Pageant Exclusive interview with Miss Chinese Montreal 2011 Dan A. Novick Lifestyle and News Writer

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January 2012

manda Chung will be representing Montreal in the Miss Chinese International Pageant in Hong Kong on January 15th. A third year Management student, Amanda is a relative newcomer to the world of pageantry, but nonetheless was crowned Miss Chinese Montreal in October 2011. She explains, “It is a big surprise when you win, but I wanted to win Miss Chinese Montreal, and I worked very hard, and I finally got it.” After training for approximately four months in total, Chung won Miss Chinese Montreal in October in her first ever pageant and will thus be representing Montreal in the Miss Chinese International Pageant. She emphasizes the uniqueness of the Asian pageant culture. “I think in Asian culture, the pageant mentality is very different than in American culture. In American culture, pageantry starts at a much younger age, like a competitive sport, and the winning demographic tends to be younger, but in Asian culture they focus a lot more on your education and your personality instead of just your physical aspects, so it’s better for you to compete when you’re older and you’ve normally had a university education.” Chung notes that because of this culture, participants are better able to present themselves since the emphasis is not just on physical appearances. Since winning Miss Chinese Montreal in October, Chung has been training intensely for Miss Chinese International Pageant. “My days are basically spent practicing Chinese and learning a talent. I’m preparing a severalminute flamenco routine, all of which is entirely new to me. Things like getting your clothes ready, thinking of what you’re going to say because there are a lot of paparazzi and a lot of coverage at these events.” She focuses on being healthy, working out, and sleeping, all while continuing to pursue her Bachelor of Commerce in International Business and Economics at the Desautels Faculty of Management. She plans to take next semester off, but plans to return to finish her degree next school year. While she acknowledges that it is at times difficult to juggle her many com-

Photo courtesy of amandachung.com

Desautels’ resident beauty pageant contestant represents Montreal in the upcomng Miss Chinese International Pageant

mitments, she values education, acknowledging that “my McGill education will help set me apart”. Chung is also the President and Founder of Global China Connection McGill, a “student networking organization that tries to bridge the cultural gap between East and West.” When she was 19, she brought a team of McGill students to an orphanage in Beijing one summer. “We taught the orphans English and tried to create a positive experience for these children and inspire them to do more of what they want in their lives.” Chung admits that there is definitely pressure to be skinny and to lose weight. She notes that while there are no strictly laid out standards, “it’s an unspoken rule; when you look at all the girls, their measurements are pretty much standardized.” “The one thing people forget is, beauty pageants are not about who the most beautiful girl is. It’s about, in that one hour, who can best present and best represent what it is that they want to get across to the judges. In short, four months of training comes down to that one hour that really matters. There is a lot of pressure and a lot of anxiety and you always want to be able to tune in to your peak performance state.” She acknowledges that a lot of her preparation has involved the mental aspect of performance. She uses a lot creative visualization, visualizing what

her ideal mindset is and imagining what the pageant is going to be like. This is a continuation of the mindset she adopted when she won Miss Chinese Montreal. “I did that in the summer before Miss Chinese Montreal, and I’m doing it again for Miss Chinese International, just to put myself in that state.” Chung is currently in Hong Kong for the preliminary part of the competition, when the contestants have a few weeks of training, press, interviews, photo-shoots and commercial shootings before the actual pageantry on January 15. Judges are not present like they are at the pageantry, but the organizers may help influence the final outcome. She acknowledges that there are many novel opportunities that arise from participating in the competition. “I’m so lucky I was chosen to be representing the city that I love, Montreal, and to be given this opportunity to travel, meet other girls, and do things that some other girls may never have the chance to do. Appreciating the experience is something that is so key to me about this whole pageant.” “I definitely want to make Montreal proud and do my best to represent this great city, but if I don’t make it into the ranks, I won’t necessarily be disappointed, as long as I know that I’ve done my best.” Follow her on her blog at www.amandachung.com The Bull & Bear

Opinion

Tarun Koshy, Opinion Editor opinion@bullandbear.ca

The Third Kim And What This Means For The World Rohan Arora Opinion Writer

ormed in 1948 and the size of Mississippi, the nation of North Korea has always had a reputation for keeping leaders across the world awake at night. Possibly one of the most dangerous men to ever be in power, Kim Jong Il has allegedly bombed airliners, organized kidnappings in Japan and conducted missile tests in 2006 and later in 2009. 2011’s historical year of revolutions saw North Korea lose its ‘Dear Leader’ a few days shy of 2012. Now, the world turns to his pudgy and mysterious son, Kim Jong Un. Little is known about the new Kim as he has never made a public appearance until the death of his father. Internationally educated, and not even well known amongst the elites, very few believe he will be a driving force behind future decisions in Pyongyang. Following the death of his father, he has now inherited arguably the world’s most indoctrinated people, the fourth largest army in the world, support from the growing superpower China and a thriving nuclear business that was developed by his father. The now declared Supreme Leader inherits a nation that is politically and economically feeble. Given the elitist nature of the Korean Worker’s Party

and the status of the army, it would be hard for the young Kim to consolidate power. As a young inexperienced political figure surrounded by those who were close to his father, it is indeed possible that Kim Jong Un wouldn’t be the one making decisions, rather they would be tailored by his uncle Jang Song Thaek. Seoul and Washington can only hope the contrasting ideas and ambitions between the Supreme Leader and his advisors force Kim to make irrational decisions, which would threaten the party politically. Kim also faces various economic problems ranging from lack of food to problems existing within his economic system. The rise of black markets, and more importantly, the smuggling of banned goods such as South Korean movies and music has shown some in North Korea about life across the DMZ. As more and more North Koreans become more aware of life in their current outside world, a ‘bottom up’ revolution is indeed possible. Kim’s performance in improving welfare through the nation will be carefully looked upon by society as 2012 marks the 100th birth anniversary of Kim Ill Sung and ‘100 years of a strong and prosperous nation.’ Along with economic and political flaws, Kim Jong Un inherits a nuclear proliferation business that has benefitted na-

Photo courtesy of Game Reactor

North Korea’s “Dear Leader” salutes the most indoctrinated people on Earth

tions like Syria and Pakistan in the past. Although Damascus and Pyongyang don’t have a common proliferation policy or ideology, the relationship between Syria and North Korea’s proves the economic incentive North Korea has with the export of nuclear missiles. What may be more worrying is that Pyongyang may have more customers in its international proliferation

market, which haven’t been detected. Mounting speculation indicates the existence of proliferation trade between Yangon and Pyongyang, evidenced by the interception of a North Korean vessel carrying plutonium in the Indian Ocean last year. However, in the event of an implosion, which still seems extremely likely, the United States would almost certainly try and de-stabilize North Korea’s chemical, biological and nuclear capabilities. However, this worries Beijing the most, as an implosion would mean a massive flow of refugees into some of China’s poorest provinces and a re-united Korea. From China’s perspective, a re-united Korea would mean a greater American presence at China’s doorstep – quite possibly one of Beijing’s worst nightmares. Going beyond the balance of power on the Korean peninsula, Beijing is also worried about how the secured nuclear material would be dealt with post-fallout. If Washington does provide Seoul with the enriched plutonium developed by Pyongyang, this could possibly start an arms race between Beijing and Washington, which could have a profound effect beyond the region. Furthermore, China would not be the only unhappy neighbour – Russia would not be happy with a greater American presence in the region. A greater American presence in Korea

would certainly cause the Kremlin to re-think its Korean policy in the Security Council. While Seoul has continually offered its generous helping, the North has habitually reciprocated by stating its policy towards the South will not change. A young, inexperienced leader in office with die-hard communist comrades of his father will face various pressures from both the international community and his party cabinet. There is a likely possibility of him continuing his father’s and grandfather’s political philosophy of ‘Juche’ (self-reliance and superiority) albeit how “revolutionary” this Swiss educated political heir may seem to his fellow communists may remain questionable. China will have to closely monitor and advice the new Kim’s cabinet as this transition means a lot to them. The United States and its ally to the South of the 38th parallel will have to closely wait and hope that North Korea will comply with China’s advice and end its nuclear business. Kim Jong Un’s decisions are vital for his nation and his neighboring China. He is expected to keep the “delusional political pride” his father and grandfather developed through 63 years of propaganda but at the same time he needs to understand the dilemma he faces as this transition not only means a lot to North Koreans, but to the rest of the world as well.

New Year Resolutions: As Realistic As Sean Turner How poutine gets in the way of a 4.0 Tarun Koshy Opinion Editor

he time has come, once again, where young McGill minds leave house and home to migrate back to our glorious campus. But, alongside the mountain of overstuffed baggage and bellies, comes a strong and determined will to change – because dammit this is 2012 and time to pull it together. These ritually defined “resolutions” that we love to make often include items such as the proverbial getting in shape, boosting grades or actually talking to that one crush you’ve been meticulously stalking last semester. Indeed, solemn promises are made that, should the world end on December 21st, it is preferred to expire looking like an Abercrombie & January 2012

Fitch model rather than an overripe tomato. However, these seemingly resolute and optimistic promises quickly devolve into a slobbering, pathetic mess of poutine, HIMYM, and Facebook (thank you Timeline). In fact, it’s not until halfway through March that we get the energy to stop and seriously ponder exactly how many beers were consumed to have come up with those resolutions. But fear not, you can reach for that bag of chips knowing that it’s only one bag, right? It’s not like Daniel Craig or Miranda Kerr don’t eat chips once in awhile. However, by around the third empty chocolate wrapper, one realizes how well and truly ridiculous the notion of carrot and celery snacks are – and the walls come down. At this point, mental rationalizations of extra

workouts and hikes up Mont Royal become about as effective as pissing into the wind, you’re only convincing yourself it’s just rain. The habitual pressures of readings, assignments, midterms and maintaining one’s tolerance

beauty of New Year Resolutions are that they were created when all one had to do was show some degree of consciousness at home so your parents wouldn’t call the ambulance. The next logical step is justi-

The beauty of New Year Resolutions are that they were created when all one had to do was show some degree of consciousness at home so your parents wouldn’t call the ambulance simply leave little to no time available. Early morning alarms are a laughable suggestion while nocturnal activities are devoted to Youtube and Facebook. The

fication – because you’re worth it. You’ve been working harder than a stripper on payday so far and it’s only natural that you get to enjoy a Häagen-Dazs or juicy

steak on your night off. Hey, it might even be a good motivator to work hard. You just figured out a way to work hard and enjoy the finer things in college life; there had to be a reason you’re at McGill. But don’t go shouting this revelation from the rooftops just yet; there comes the small question of defining success. Success, even at an overachieving place like McGill, is as diverse as its population. And, just like my turn in high school gym class, the benchmark of success is eventually set lower and lower until flopping around like a retarded seal qualifies for a reward. For example, when stuck in that particularly unsavory yet mandatory class, the definition of success might travel from an A to “beating the class average” to plain “passing the course” faster than Lindsay Lohan failing sobriety. The Bull & Bear

Opinion

Tarun Koshy, Opinion Editor opinion@bullandbear.ca

Editorial: McGill’s Slipping Laurels How the McGill reputation is a bubble waiting to burst The Editors The Bull & Bear

s of 2012, we are proudly running on fumes. Once the distinctive and rallying call for students worldwide, the McGill reputation is now aging faster than Arnold Schwarzenegger’s pectorals, and to an equal degree beginning to show. Fundamental to this degradation is the fact that our pre-med Dr. Houses are almost the only ones carrying the rankings – a weight that is also beginning to slow down due to lackadaisical technological development. As a public research university, in-

novation is not merely a competitive advantage, but a rather crucial factor in building an academic distinctiveness. In a close second is the ballooning McGill deficit. The lack of available funds is sure to make a dent in crucial factors such as technological innovation as well as the employment of worldclass professors. Without enough money to show on the table, toptier professors are more likely to be poached by other universities, taking the research that has propped the McGill name with them. Drawing this problem closer to home, the Desautels Faculty faces the problem of lagging be-

hind other business schools – thanks in no small part to Québec’s CEGEP system. While most McGill freshmen are taking non-focus courses with the aim to boost their GPA, business freshmen at comparable universities such as Queen’s, Western and UBC are already completing core courses. By the time U1 students begin taking their core courses, the competition is already looking at Derivatives and Applied Corporate Finance. In fact, it seems the only students benefiting from the CEGEP system are the Québec high school graduates who are almost forced by the system to remain in Quebec due to incompatible course

structures at other universities. One reason may be that Quebec politicians have every incentive to retain their top talent in their own province. Our program’s competitive edge is hammered blunt by the unwillingness of our administration to adapt to the necessary changes. The setbacks that U0 commerce students endure, coupled with the dire lack of coop opportunities, present major challenges to the career-oriented student. The administration, of course, realizes this, but is unable curb this problem with antediluvian bureaucracy taking centre stage in the University’s mode of thinking.

So rather than resting on it’s admittedly strong rankings and international perception, McGill needs to take a square look at the way the institution is being run. Changes must be made to respond to the dynamic educational environment if this university wishes to remain a world-class institution; changes that look at investing to continuously attract top-tier instructors, improve the school’s facilities, and restructure its BCom curriculum. McGill students cannot rely on a haughty-sense of pride and a fading alumni base to sustain their future. Quite succinctly, it’s either adapt or die, McGill.

industry can serve as a far better example than MUNACA strikes or quarrels between Derek Fisher and Mr. Stern. Let’s take a trip down to Flint, Michigan, a city best known for being the birthplace of General Motors and the Flint Sit-Down Strike, which played a crucial role in the formation of the United Auto Workers. What was once a bustling industrial town has diminished to urban decay; the UAW and automakers such as GM were ill prepared for globalization and the disinvestments that came along, thus seeing jobs outsourced to more reasonable, non-unionized facilities both in the United States and abroad. Today, only 10% of its once booming manufacturing workforce still remains in Flint, and the city is regularly ranked amongst the most dangerous cities in America with over a quarter of the population living below the poverty line. In 1994, business strategist William N. Cooke called for more creative ways to abolish the inefficiencies that came with unions while also seeking appropriate worker compensation. His study claims that non-unionized firms with profit-sharing programs increase productivity by 18% compared to unionized firms with similar programs. The incentives of the employees are thus aligned with those of the firm and the workers can spend their additional compensation however they see fit. Since the 90’s, employee participation programs and profit-sharing schemes have become

much more popular, in part due to the private sector’s gradual intolerance towards unions. The remaining challenge is thus bestowed upon the public sector. I’m not calling for an end to unions, but it’s time governments look for solutions to diminish the inefficiencies within the organizations they operate. While some extreme capitalists might call for immediate privatization, it would be unfeasible, and even un-Canadian, to do so in the fields of healthcare and education. Unions must look to redefine their roles. They must aspire to increase productivity, and attract talent so as to serve as a competitive advantage to its employers, not a burden. Unions should continue to press their employers to compensate hard work accordingly, but also cease to protect the inefficiencies they bring along for the ride. While some unions are following this mantra, too many lag far behind. As mentioned earlier, profit sharing schemes and more creative remuneration methods seem to be the first step forward. This would also address the wastefulness of employees who see no incentive to challenge themselves because of the overpowering job security usually offered by unions. While my suggestions are much easier said than done. It is time we charge forward and change the labor union model of the 1930’s so that the problems of Flint, Michigan never make their way north of the border.

Are Labour Unions Essential? Why unions need a makeover, and fast Dann Bibas Opinion Writer

his past fall, McGill students and NBA fans endured the nasty head-on collision between the exploited employees and their fat-cat employers often seen during labor negotiations. Being an avid basketball fan and McGill student, these events have stirred quite a few thoughts concerning unions and their importance beyond the James administration building and the confines of David Sterns office in the Big Apple. I know you’ve all heard the pros and cons before, yet I feel inclined to flog the proverbial horse and beg the question one more time: Are unions beneficial or detrimental to our economic landscape? Initially formed in the 18th century, labor unions were a response to the unprecedented expansion of industrialism, attracting men, women and children of all origins onto the workforce. Unions intended to protect these workers by forming a common front to improve working conditions while businesses looked to continuously heighten productivity. Across the Anglo-Saxon world, unions have instilled a forty-hour workweek, healthcare benefits, minimum wage, pension plans and child labor laws. Although most of us may not currently be members of a union, such advancements in labor standards have undoubtedly benefitJanuary 2012

Photo courtesy of Walter Reuther Library

United Automobile Workers camp on auto seats during the Flint Sit-Down Strike

ted us all. Needless to say, quite a bit has changed since the industrial revolution. Businesses now operate in a borderless world, leaving skeptics to believe that the high costs of dealing with unions to hamper a country’s competitiveness. A recent study on labor unions published by the National Association for Business Economics only validates this point. Unsurprisingly, it concludes that while unions have maintained their role as a protective body for workers, little evidence shows that unions care to actively address improved firm efficiency, which in the interests of the unions could mean fewer jobs. This is not an angry tirade against the 99% (actually, union memberships in the United States currently amount to only 12.1% of the workforce) but rather a challenge for us to continue the dialogue on how to

change the structure of unions across North America. Labor relations expert and economist, Barry T. Hirsch, noted in a 2004 study that organizations consisting of unionized employees fail to show significant increases in productivity. Since the 1970’s, the “union wage premium” collected by unionized workers has varied between 17% and 32% compared to their nonunionized peers. Hirsch’s study later shows that unionized firms are less likely to invest in R&D and capital expenditure as a result of these higher costs. As such, in an age where technological advancements largely dictate the pace of economic growth, Hirsch’s findings seem to make a valid case against unions. Ironically, it is the sectors with the highest levels of union protection that have suffered the greatest deal from intensified global competition. The auto

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Opinion

Tarun Koshy, Opinion Editor opinion@bullandbear.ca

Women Are Human Beings Too A resuscitation of the feminist movement is needed in our curriculum Shyam Patel Contributor

recall a conversation with one of my female colleagues who mentioned that women who dress provocatively “deserve” to be raped. Furthermore, even in my family there is an unspoken expectation that housework be performed solely by my female relatives. These outmoded attitudes towards women sparked my interest in the feminist movement. Over the last few years, I developed an appreciation for the essential efforts contributed by women in society but at the same time, I recognized the resistance among many individuals against feminism as a social movement and noticed the existence, or lack of, gender issues in the broader academic curriculum. There are still many misconceptions about feminism. I realize that the term is loaded, but feminists are not just lesbians, queer folk, or a group of leftists; feminism is not simply a notion of radicalism. Feminism, in my opinion, is an empowering step forward that pushes for women’s rights to be human rights. In a world where the two terms have different meanings, there is no alternative to feminism because without women’s rights, human rights cannot be progressively justified. The integration of feminism, or any form of equitable move-

ment for that matter, into the classroom is severely lacking in departments and programs at this university. Specifically, as a Management student, there are very few, if not any, opportunities to engage in dialogue regarding feminism. There is already a lack of sustainable and social integration that exists within the curriculum, and the void in discourse central to equity-minded topics is a pressing concern. Why is feminism relevant on campus when there is a surge in numbers among the women-

nique Massacre on December 6, 1989 here in Montreal that saw the murder of fourteen women by Marc Lepine is an example of the many anti-feminist actions. In the political landscape, Hillary Rodham Clinton was highly scrutinized during the 2008 Presidential Campaign for wearing pant suits, for once tearing up when responding to a question and the media often joked about her being a “nutcracker.” Joke or no joke, the mainstream media’s sexist remarks highlighted the existence of inequity in North

of any conversation about feminism on campus would be a step forward from the current state of none at all. Although dialogue is present in courses under the Women’s Studies major, it is not always introduced in courses outside the program, especially in Management. Too many Management students automatically think of equity as the finance term rather than fairness and it is too often that female counterparts are encouraged to dress a certain way for presentations (the way an individual dresses is

Mainstream media’s sexist remarks highlighted the existence of inequity in North America and its relevance in society to-men ratio across different departments? Although the argument of equal representation already existing on campus is valid, such an argument does not take into consideration equitable practices. Being treated in an equitable manner means being treated fairly, this is substantially different from equality. The process by which women must exert their intrinsic value is still relevant and is an issue that needs to be addressed. Feminists around the world are still pushing for reproductive rights and freedom, gender parity, and actions to stop violence against women. The École Polytech-

America and its relevance in society. The fact that many of these issues are still being neglected is disconcerting and such a pattern is likely to persist if there is little educational advancement made to integrate these topics into the curriculum. These topics can be easily integrated into the classroom dialogue. For example, in Management, students should engage in dialogue about sexual objectification, gender depictions in advertising, pay equity, and harassment policies, among many other topics. Of course, much of the dialogue requires patience; the start

their prerogative but the example demonstrates some of the norms still entrenched into our society). The need for feminism in the academic curriculum, in addition to discourse, is also significant to step beyond the boundaries of the university sphere. The start of open dialogue in the classroom can empower student leaders and thinkers; empower them to believe and to recognize the fundamental value of women. In the Management world, the integration of feminist teachings in the curriculum can enable students to move beyond the classroom. For example, Management students aspiring

to be entrepreneurs can learn about sexual harassment policies and instill equity training for all employees, Marketing students can study equitable advertising to lessen the objectification used in promotional material used by mainstream corporations, and Human Resources students can improve pay equity policies and procedures. These are only a few examples to the endless possibilities that exist. male colleagues, I am sure that you have a sister, a mother, a grandmother, or a mentor in your life who is a woman, and for her, you should be a feminist and join the movement. That is why I am, and always will remain, a feminist. It is my hope that feminism becomes less of a daunting word on campus and rather will enable dialogue that is open and honest. By allowing students to focus on social aspects for projects in all fields or by creating a forum of discourse relevant to social movements, there will be improved dialogue overall. The feminist movement is reverberating and continues to empower thousands of men and women around the world. With every crack in the ceiling, it has already created several opportunities and if further progress is attainted, it will revolutionize society and I know that one day the feminist revolution will ignite a community where women’s rights will be interchangeable with human rights.

Are you interested in sustainable practices and eager to get more involved in the faculty? The Sustainability Network is looking to hire 4 to 5 new Execs. Send us an email with your CV and a statement of purpose at mcgillsustainabilitynetwork@gmail.com before Jan 18th. January 2012

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