Happy New Year! January 2012 • Volume 9 • Issue 5

A publication of the

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McGill is entering the New Year with a projected deficit of $6 million (compared to a surplus of $5 million in 2011), account-ing 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 compen-sate for increased pension liabili-ties, 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 draw-down of operating funds to cover spending on renovation projects. Furthermore, McGill’s Treasurer anticipates that the cost of bor-rowing will increase from the average rate of 1.2% to at least 2.15% in 2012.

Budgeting ObjectivesThe University is working

under difficult financial circum-stances, citing rising administra-tive costs, salaries and tuition fees that are below the national aver-age 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 “transi-tional” to fulfilling the Strategic Reframing Initiative (SRI), a framework launched in 2010 for the purpose of improving “key areas in the University’s admin-istrative practices.” Under SRI, the following areas have been addressed as the primary areas of concern for the administration: cost efficiencies, enrolment mix,

philanthropy, transformative re-search and innovation, and per-formance enhancement.

According to the Provost’s report, McGill’s budget has five top priorities: “increasing com-pensation costs required to at-tract 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, lit-eratures, and cultures,, and Ge-nomics), maintaining adequately our physical infrastructure, and

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

Financial Performance McGill’s total expens-

es 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 pay-ments to academic staff repre-senting the largest portion of sal-ary expenses at 39%, followed by payments to administrative and support staff at 29% of total sala-ries. Through SRI, the University projects that their budget will be balanced by 2014.

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 larg-est funding source, is also bur-dened 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 Hy-dro-Québec rates. Despite this planned expenditure manage-ment, the Quebec Government plans to begin raising tuition fees starting in Fall 2012 by $325 per year, with a 35% holdback (re-duction of the operating grant) for student aid.

The Bull & BearMUS

Launches Elections

The 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 base-ment. This year’s elections will utilize newly implemented features such as candidate de-bates, with the aim of increas-ing student involvement in the election process. The Bull & Bear spoke with current MUS President Dave Fortin to ob-tain an overview of the elec-tion process.

The Schedule and ModusThe election process is or-

ganized by the Chief Return-ing Officer Clement Chuong, along with the Deputy Return-ing Officers, who are indepen-dent 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 Inter-nal Affairs, Shehryar Rajani, to whom Officer Chuong re-ports, oversees the event and communicates the process to the MUS.

Continued on Page 3

Hugo MargocNews Editor

Elections for the 2012-13 academic

year will implement new features to increase voter

turnout

McGill’s Deficit RisesDavid LinExecutive Editor

expenDituRes outpace Revenues in GRowth

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

Illustration by Michael Horowitz

The Brief

The Bull & Bear

2

January 2012

What not to miss in Management this month.

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

MUS Elections Information SessionJan 13th

Dave Fortin introduces the election modus and applicant qualifications.

Management Achievement AwardsJan 27th

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

McMUNJan 26th - 29th

One of North America’s largest Model UN conferences.

Cancer AuctionJan 20th

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

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

Manuella Djuric Advertising Director

Michaela Hirsh Ad Coordinator

Sean Alex Finnell Online Editor

Michael Horowitz Chief Layout Editor

Olivia Siu Marketing Director

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

Layout Editors:Michael Tong Alessandra Hechanova Matthew Hunter

Photographers: Jordana CohenNicole HimelfarbDaichi Ishikawa JeanMoirezFadi Tleel Ed Yao

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.

The Bull & Bear

Second Floor UnveilingJan 18th

The long awaited Sandiford Library will soon be open to the McGill population

DBCSJan 19th - 21st

Attend lectures held by experts on sustainable business

Inter-Collegiate Business Competition Held at Queen’s

The final round of the Inter-Collegiate Busi-ness Competition (ICBC), with partici-

pating 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 Man-agement Information Systems. The top six teams from the pre-liminary 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 represen-tatives. Some of the most suc-cessful teams in the preliminary round included Concordia Uni-

versity, which was a finalist in six of the eight categories, Dalhousie University and Okanagan col-lege, both of which were finalists in five categories, and University of Calgary and University of Re-gina, which were finalists in four categories.

In the final round, partici-pants were given five and a half hours to crack their case and present their resolutions to the judges. At the end of the sec-ond day of presentations, awards were given out at a banquet at the

Kingston Banquet and Confer-ence 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 net-work with the judges and spon-sored representatives”.

For a detailed list of winners from JDC, please refer to the image on Page 3.

Alvira RaoNews Editor

News

The Bull & Bear

3

October 2011

INTER-COLLEGIATE BUSINESS COMPETITION

the ACCOUNTING EVENTpresented by ERNST & YOUNG

dALHOUSIE UNIVERSITYMark Allen & Jennifer Watson

1

okanagan collegeMichael Naito & Josh Widmann

2

uNIVERSITY OF bRITISH COLUMBIADylan Callow & Alex MacGilliavray

3

the business policy EVENT presented by level5

Queensland university of technologyBen Dunphy, Caroline Clarke and Emily Clark

1

university of reginaAndrew Polasek, Shannon Johnson and Kyle Derrick

2

concordia universityMeaghan Foley, Juliya Regy and Kevin Chan

3

the fINANCE EVENT presented by BMO CAPITAL MARKETS

YORK UNIVERSITYMatthew Lee & Mark Santos

1

University of manitobaRowena dela Torre & Raymond Huynh

2

OKANAGAN COLLEGESteven DeBoer & Jessica Wilson

3

1

2

3

the minerva health & safety human resources event

the Debating EVENTdALHOUSIE UNIVERSITY

Samantha Begelfor & Lauren Michell 1

Concordia UNIVERSITYAlison Revine & Greg Syndanidis

2

university of calgaryHardave Birk & Oliver Peplowski Arianne Amikhalkhali & Jonah Nguyen

3

okanagan collegeBianca d’Errico & Zach Webster

1

UNIVERSITY OF PRINCE EDWARD ISLANDKathleen Van Ekris & Duncan Sturz

2

SAINT MARY’S UNIVERSITY3

Isabella Matteo & Robin Sancton

UNIVERSITY OF REGINADale Diekrager & Laura Poure

1

QUEENSLAND UNIVERSITY OF TECHNOLOGYRose Sanderson & Casey Jenkins

2

cONCORDIA UNIVERSITY3

the MARKETING EVENT presented by TARGET

uNIVERSITY OF CALGARYCourtney Tanaka & Lindsey Welch

QUEEN’S UNIVERSITYLindsay Fisher & Alex Radu

YORK UNIVERSITYAngela Chen & Telly Carayannakis

the FLIP DEVELOPMENT MIS EVENT

Chris Carpini & Northrop Sprung-Much

Dalhousie universityDeanna Burke-Courage & Trevor Nelson

1

University of british columbiaJohnny Lee & Jennifer Vlasiu

2

cONCORDIA UNIVERSITY3

okanagan collegeEmily Johnson & Vanessa Wittel

3

the Ethics EVENT

I.C.B.C. 2012 WINNERS

After the Election Infor-mation Session on the 13th, which will introduce the pro-cess and the application re-quirements for potential can-didates, the nomination period will begin on January 20th and end February 1st. During this time, the candidates will have the chance to collect signa-tures and present their plat-forms 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 slight-ly adjusted to generate more involvement. This year, the President, along with the aca-demic 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 ap-point 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 stu-dents, and debate on various academic issues. Fortin hopes

that this added element will raise awareness and popular-ity of the elections, as well as garner as many student votes as possible. He further stress-es 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 Sta-

tistics Representative to the MUS, Stamen Hristov, was recently offered an internship opportunity at an actuarial firm in Ontario, and thus can-not fulfill his duties with the MUS during the winter se-mester. According to the MUS constitution, in case of a mid-year absence, a new represen-tative must be elected within 15 days of the start of the term. Consequently, the election for the Math and Statistics repre-sentative 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://bul-landbear.musonline.com/ for updates on the election process.

MUS LAUNCHES ELECTIONS (CONT’D FROM PAgE 1)

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

Photo courtesy of MUS

MUSBullandBear The Bull and BearAll your Bronfman news...Also available in 140 characters or less.9 hours ago

Annual Jeux du Commerce Results

From January 5th to 7th, 13 Eastern Canadian universities competed in the areas of Academ-ics, Sports, and Social Engage-ment at the annual Commerce Games, hosted by the University of Laval in Quebec City. The Bull & Bear spoke with MUS VP Ex-ternal Gaziza Tolkimbayeva , who organized McGill’s delegation to the Commerce Games.

Tolkimbayeva, who was ex-tremely 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 to-gether 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 dif-ferent scholastic areas. Winners of the 3 hour cases were deter-mined based on a succinct, 20 minute presentation. The Sports

Competition comprised of tour-naments in soccer, dodgeball, and tchoukball while the Social En-gagement component involved various events such as Mario Kart and a Scavenger Hunt. Judges ob-served the teams at all times and awarded scores based on creativ-ity and improvisation.

The McGill Academic Teams performed particularly well in the Games. The Organizational Man-agement team, comprised of stu-dents Gaziza Tolkimbayeva, Eric Aboutboul, and Jessica Lewis, finished 2nd; International Busi-ness, involving Ava Yazdani, Nis-hank Thakur, and Sam Latham, placed 3rd. Entrepreneurship, with Alyssa Favreau, Frederick Dube Fortier, Anne Claude Gen-dron, ranked 3rd; Accounting, led by Maxime St Laurent, Ju-lia Godolphin, Alistair Beaupre

came 3rd and finally, Stock Simu-lation, headed by Nicolas Belle-marre, Simon Pelletier, Marc An-toine 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, Jon-athan Bliss, Frederique Boucha-rd, Chase Potter, Felix Brisset, Nicholas Di Giorgio, Steven Mootin, Gaby Abou Merhi, and Hannah Rivkin; placed 4th.

Despite their strong perfor-mances, the Games are accessible to all students. This year’s par-ticipants were selected through tryouts or Professor nomina-tions, 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 try-outs in the fall.” Furthermore, the MUS VP is very fond of inter-University competitions: “Over-all, competitions have a huge impact on McGill’s reputation, which is why we put so much em-phasis on these events.”

Hugo MargocNews Editor

Five Desautels Academic teams placed on the podium

Students show their spirit during the Jeux Du Commerce

Photos by Fadi Tleel

Monthly Markets

The Bull & Bear

4

January 2012

Mohammad Awada and Ivan Di, Markets Editorsmarkets@bullandbear.ca

Got a question? Google it! Find an addicting song or funny video? Put it

on your iPod. There is no ques-tion 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 con-glomerates, it also saw the birth of current global giants Apple and Google.

Introduced in the late nine-teenth 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 compa-nies 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 Coca-Cola widened its industry domi-nance over Pepsi.

While The Coca-Cola Com-pany and PepsiCo still compete, their rivalry has matured and

stabilized as both giants have ex-panded worldwide and slowed new market penetration. In their stead, Apple and Google have become the rapidly proliferating rivals of the world.

But the relationship be-tween Apple and Google was not originally competitive – Apple produced computers, mobile de-vices, and software while Google provided search, video, maps, and email services. Further-more, 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 Mo-torola Inc. and the introduction of the Chrome Notebook only enflamed the burgeoning rivalry as the search engine giant chal-lenged Apple in simultaneously in different markets.

On the online music front, Apple has exerted widespread influence since 2001 with the release of iTunes in conjunc-tion with the iPod. In response, Google unveiled its Android Mu-sic Marketplace last November, a direct move against the monopo-

listic iTunes in online music pur-chases.

The next battleground for the two tech giants is televi-sion. With many former cable subscribers opting for cheaper internet-based services such as Netflix and Hulu, both Apple and Google intend to take a dis-tinct piece of the very lucrative pie. Google has already made deals with television makers LG, Samsung and Sony – three of the largest television manufactur-ers – to embed Google TV into their hardware. At the Le Web Conference in December 2011, Google CEO Eric Schmidt an-nounced 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 com-puting and information technol-ogy, the sky is the limit for Apple and Google as both giants con-tinue 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?

Uncertainty in Europe Looms Ahead

The financial turbu-lence 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 with-out 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 Euro-zone bailout deal. The referen-dum was supposed to take place in December of last year, or early this year, however the plan was scrapped after vehement opposi-tion from both the Greek parlia-ment and Greek citizens.

Even with Papandreou gone, it seems that the withdrawal of

Greece from the Eurozone re-mains on the table for the debt-stricken country.

In October, EU leaders agreed on the latest €130 bil-lion bail-out for Greece, on the condition that the Greek gov-ernment makes further cuts to public spending, privatises more services and state-owned compa-nies, and seriously tackles issues of tax evasion.

Greece is still waiting to se-cure its second EU-IMF bailout, which will no doubt demand ad-ditional cuts that the Greek gov-ernment 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 spokesper-son Pantelis Kapsis told Skai TV

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 intro-duced spending cuts, but with the austerity measures required by the next bailout offer still un-known, Greece is asking itself just how much can be cut.

Kapsis continued, “I also

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 Europe-an Central Bank (ECB) is confi-dent, 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, some-thing that to me seems com-pletely 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 defi-cits.

“I think that, for the mo-ment, we are starting to have control over the situation,” he said.

As the turbulence and un-certainty of 2011 slips into recent memory, economists and politi-cians across Europe are warning of a more turbulent 2012, but a 2012 that will be more predict-able and controlled, if such terms can be applied to the European crisis.

Christian SullivanMarkets Writer

Apple and google: This Century’s Coke and Pepsi

Maximilian FeinsotMarkets Writer

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

Photo courtesy of Tarpon Wordpress

I think that, for the moment,we are starting to have

control over the situation

Political Pressures Shut India’s Doors to Wal-Mart

In the second half of No-vember, the Indian gov-ernment 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 Adi-das 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 an-nouncement, the government said it was bowing to mounting opposition and suspending the move. After a meeting with gov-ernment and opposition party officials in early December, In-dian 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 admin-istration’s recent “Keystone XL pipeline cop-out,” demonstrat-ing the potential that interest groups have to not only influ-ence, 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 perform-ing 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.

Sameer RizviMarkets Writer

India’s consumers protest Walmart’s entry

Photo courtesy of MSN India

Monthly Markets

The Bull & Bear

5

January 2012

Mohammad Awada and Ivan Di, Markets Editorsmarkets@bullandbear.ca

It seems the sovereign debt situation does not come with an evident solution. Most Eurozone economies

have suffered a marked slow-down in growth due to the ac-celeration 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 Euro-zone.

With the high deficit and mounting debt levels of the PI-IGS (Portugal, Ireland, Italy Greece, and Spain), the troubled states face the dilemma of solving their fiscal crises without spread-ing 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 dem-onstrates the unavoidable reces-sion that would ensue due to the loss of revenues. Thus, external

aid and the reliance on other EU partners for these countries be-comes critical.

However, the core countries such as Germany and France are not willing to pay the price of high debt costs using default-prone Eurobonds that would only add to the debt levels. Ger-

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 announce-ment of selling shares to meet

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-

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 contin-gency plans in the event of a Eu-rozone breakup and some Euro-pean banks have already set out to make preparations for the pos-sible scenario. Consequently, the

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 unem-ployment rate in U.S. and poten-tial risks on China’s economic stability will also contribute to more uncertainty in 2012. 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 tem-porary recovery on the job mar-ket, the unemployment remains high as more than 13 million em-ployees 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 Eu-ropean import represents more than a fifth of China’s export revenue. Furthermore, due to government-instituted low inter-est rates on bank deposits, inves-tors grossly over-invested in the domestic housing market, creat-ing 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 glob-al 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.

Embrace the Year of the BearQi LaiContributor

Risks and Rewards of Investing in a Progressive Russia

This past month there have been massive protests against Rus-sian President Vladi-

mir Putin, with demonstrators furious over alleged election fraud. Aside from these recent events, Putin has never experi-enced major opposition towards his rein, which is partially ex-plained by the fact that Russia’s economy grew significantly since he took power as Acting Presi-dent 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. Be-low are some issues to consider regarding Russia’s economic fu-ture:

OilThis natural resource has

been the main driver of Russia’s economic boom in the past de-cade, and by 2008, accounted for almost a third of all government revenues. Additionally, high and rising oil prices have played a ma-jor role in Russia’s fiscal achieve-ments during the boom years, as government oil and gas revenues helped create a series of structur-al surpluses since 2000, as well as

helped pay off external debt and build up assets in the massive stabilization fund that allowed Russia to implement fiscal stim-ulus 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 interna-tional Energy Association, Saudi Arabia is on its way to surpass Russia as the world’s top oil pro-ducer 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

start searching for oil in less and less accessible places, like remote eastern Siberia or the Continen-tal Shelf in the Arctic Sea. The only profitable way for corpora-tions 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.

Dutch Disease When a country experi-

ences a large natural resource boom, the real exchange rate tends to increase with rising ex-ports from the resource sector and rising global prices, which consequently hinders the manu-facturing sector’s global compe-tiveness and performance. This is known as economist Paul Krug-man’s Dutch Disease, and Russia exhibits some of the symptoms that call into question the sus-tainability of the oil and gas fo-cused 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 invest-ment.

Magid AwadMarkets Writer

Concerns that the Eurozone sovereign debt crisis could worsen may lead to the

reintroduction of national currencies in one or more Eurozone countries

Production growth started to slowdown in 2005 and became negative in

2008, which suggests that oil production in Russia is nearing its peak

Sources: British Petrolium, Statistical Review of World Energy, 2009; and IMF, World Economic Outlook

Source: World Banking Indicators-Tradingeconomics.com

Lifestyle

The Bull & Bear

6

January 2012

Chris Conery and Kristine Pinedo, Lifestyle Editorslifestyle@bullandbear.ca

Hidden Gems of the McGill Campus

Last 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 cam-pus 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.

Aliénor Lemieux-Cumberlege - Contributor

This place is beautiful, and super, super quiet. While usu-ally 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 panel-ing everywhere, most book titles are in languages you can’t read, so you won’t get distracted look-ing at them.

Cons: Small, study carrels fill up quickly. The stained glass windows can be very distracting because they’re quite pretty.

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 faint-est 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 thor-oughly 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 1000h-1800h, closed on weekends. Li-brarian is terrifying, though actu-ally very sweet if you need advice

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 sympa-thy - it’s a scary place. Further-more, it’s often over-heated (the fourth and fifth floor, next to the computers, are especially notori-ous). 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.

Pros: You will be stressed into submission, so that you feel obliged to study. It also offers 24-hour 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.

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 win-dows.

Cons: Lots of smart people to make you feel stupid. Stress and stupidity levels rise during finals.

Shulich

Islamic Studies

Birks Reading Room

Lawyers are scary people. Don’t drop your pencil, or you might get walloped by some-one’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 Face-book, 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 occur-rence.

Law Library

FDA Labs

Photo courtesy of Scott Norsworthy (Flickr)

Photo courtesy of McGill University

Photo by Fadi Tleel

Photo courtesy of Sarah Burke (Flickr)

Photo by Fadi Tleel

Lifestyle

The Bull & Bear

7

January 2012

Chris Conery and Kristine Pinedo, Lifestyle Editorslifestyle@bullandbear.ca

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 Nu-trition to keep you fuelled.

Cons: Couches are the com-fiest things ever and may make you fall asleep instantly. Also, an overdose of MSG is probably a terrible way to die.

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, indus-trial study-space. Also, have you seen how ugly the building is? There are lots of nicer places.

Commonly referred to as “the Hipster library”, it does have the advantage of being a quiet place to study. However, the con-stant 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 car-rying 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.

Similar to McLennan, the Cybertheque is really, really soul-sucking, 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 all-nighters 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 ma-chines 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 fi-nals season.

Cons: Getting slightly smelly because people have been living there for a while in addi-tion to the soul- and time-suck-ing.

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.

McLennan

Blackader-Lauterman

Cybertheque

SSMU

Soulless, but Science stu-dents get free printing and 24-hour 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).

Pros: Free printing! Help-ful maths students to explain the wonders of life and numbers–re-lated 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.

Burnside

Where, oh where is one to study?

Photo by Fadi Tleel

Photo courtesy of SSMU

Photo by Fadi Tleel

Photo by Fadi Tleel

Photo by Ed Yao

Lifestyle

The Bull & Bear

8

January 2012

Chris Conery and Kristine Pinedo, Lifestyle Editorslifestyle@bullandbear.ca

Amanda Chung will be representing Montreal in the Miss Chinese International Pageant

in Hong Kong on January 15th. A third year Management stu-dent, Amanda is a relative new-comer to the world of pageantry, but nonetheless was crowned Miss Chinese Montreal in Oc-tober 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 approxi-mately four months in total, Chung won Miss Chinese Mon-treal in October in her first ever pageant and will thus be repre-senting 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 differ-ent 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 personal-ity 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 be-cause of this culture, participants are better able to present them-selves 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 several-minute flamenco routine, all of which is entirely new to me. Things like getting your clothes ready, thinking of what you’re go-ing 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 sleep-ing, all while continuing to pur-sue her Bachelor of Commerce in International Business and Economics at the Desautels Fac-ulty of Management. She plans to take next semester off, but plans to return to finish her de-gree next school year. While she acknowledges that it is at times difficult to juggle her many com-

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 orphan-age in Beijing one summer. “We taught the orphans English and tried to create a positive experi-ence for these children and in-spire 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 un-spoken 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 repre-sent 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 al-ways 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 perfor-mance. She uses a lot creative visualization, visualizing what

her ideal mindset is and imagin-ing 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 pag-eantry on January 15. Judges are not present like they are at the pageantry, but the organizers may help influence the final out-come.

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 disappoint-ed, as long as I know that I’ve done my best.” Follow her on her blog at www.amandachung.com

Mcgill Student Represents Montreal in Miss Chinese International Pageant

Dan A. NovickLifestyle and News Writer

Exclusive interview with Miss Chinese Montreal 2011

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

Photo courtesy of amandachung.com

Google, Facebook and Amazon may join SOPA protest.3 hours ago

FOllOw @MUSBUllAndBeArOn TwiTTer FOr BreAkinG newS And STOrieS

Opinion

The Bull & Bear

9

January 2012

Tarun Koshy, Opinion Editoropinion@bullandbear.ca

The Third Kim And What This Means For The World

Formed in 1948 and the size of Mississippi, the nation of North Korea has always had a repu-

tation for keeping leaders across the world awake at night. Pos-sibly 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 revolu-tions 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. In-ternationally educated, and not even well known amongst the elites, very few believe he will be a driving force behind future decisions in Pyongyang. Fol-lowing the death of his father, he has now inherited arguably the world’s most indoctrinated peo-ple, the fourth largest army in the world, support from the growing superpower China and a thriving nuclear business that was devel-oped 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 politi-cal 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 advi-sors force Kim to make irrational decisions, which would threaten the party politically.

Kim also faces various eco-nomic problems ranging from lack of food to problems exist-ing within his economic system. The rise of black markets, and more importantly, the smug-gling of banned goods such as South Korean movies and music has shown some in North Ko-rea about life across the DMZ. As more and more North Kore-ans 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 in-herits a nuclear proliferation business that has benefitted na-

tions like Syria and Pakistan in the past. Although Damascus and Pyongyang don’t have a common proliferation policy or ideology, the relationship be-tween 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 Pyong-yang may have more customers in its international proliferation

market, which haven’t been de-tected. Mounting speculation in-dicates the existence of prolifera-tion 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 ex-tremely likely, the United States would almost certainly try and de-stabilize North Korea’s chem-ical, biological and nuclear ca-pabilities. However, this worries Beijing the most, as an implo-sion would mean a massive flow of refugees into some of China’s poorest provinces and a re-unit-ed Korea. From China’s perspec-tive, a re-united Korea would mean a greater American pres-ence 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 Pyong-yang, 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 Krem-lin to re-think its Korean policy in the Security Council.

While Seoul has continu-ally offered its generous helping, the North has habitually recip-rocated by stating its policy to-wards the South will not change. A young, inexperienced leader in office with die-hard commu-nist comrades of his father will face various pressures from both the international community and his party cabinet. There is a likely possibility of him continu-ing 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 par-allel will have to closely wait and hope that North Korea will com-ply with China’s advice and end its nuclear business. Kim Jong Un’s decisions are vital for his na-tion and his neighboring China. He is expected to keep the “de-lusional political pride” his fa-ther 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.

Rohan AroraOpinion Writer

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

people on Earth

Photo courtesy of Game Reactor

New Year Resolutions: As Realistic As Sean Turner

The time has come, once again, where young McGill minds leave house and home

to migrate back to our glori-ous campus. But, alongside the mountain of overstuffed baggage and bellies, comes a strong and determined will to change – be-cause dammit this is 2012 and time to pull it together. These rit-ually defined “resolutions” that we love to make often include items such as the proverbial get-ting 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 Decem-ber 21st, it is preferred to expire looking like an Abercrombie &

Fitch model rather than an over-ripe tomato. However, these seemingly resolute and optimis-tic 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 reso-lutions.

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 Miran-da 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

simply leave little to no time available. Early morning alarms are a laughable suggestion while nocturnal activities are devoted to Youtube and Facebook. 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.

The next logical step is justi-

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 Mc-Gill. But don’t go shouting this revelation from the rooftops just yet; there comes the small ques-tion 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 eventu-ally set lower and lower until flopping around like a retarded seal qualifies for a reward. For example, when stuck in that par-ticularly unsavory yet mandatory class, the definition of success might travel from an A to “beat-ing the class average” to plain “passing the course” faster than Lindsay Lohan failing sobriety.

Tarun KoshyOpinion Editor

How poutine gets in the way of a 4.0

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

Opinion

The Bull & Bear

10

January 2012

Tarun Koshy, Opinion Editoropinion@bullandbear.ca

Are Labour Unions Essential?

This past fall, McGill students and NBA fans endured the nas-ty head-on collision

between the exploited employ-ees and their fat-cat employers often seen during labor negotia-tions.

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 re-sponse to the unprecedented ex-pansion of industrialism, attract-ing men, women and children of all origins onto the workforce. Unions intended to protect these workers by forming a common front to improve working condi-tions while businesses looked to continuously heighten produc-tivity.

Across the Anglo-Saxon world, unions have instilled a forty-hour workweek, healthcare benefits, minimum wage, pen-sion plans and child labor laws. Although most of us may not currently be members of a union, such advancements in labor stan-dards have undoubtedly benefit-

ted us all. Needless to say, quite a bit

has changed since the industrial revolution. Businesses now oper-ate in a borderless world, leaving skeptics to believe that the high costs of dealing with unions to hamper a country’s competitive-ness.

A recent study on labor unions published by the Nation-al Association for Business Eco-nomics 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 ad-dress 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 con-tinue the dialogue on how to

change the structure of unions across North America.

Labor relations expert and economist, Barry T. Hirsch, not-ed in a 2004 study that organiza-tions consisting of unionized em-ployees fail to show significant increases in productivity. Since the 1970’s, the “union wage pre-mium” collected by unionized workers has varied between 17% and 32% compared to their non-unionized peers. Hirsch’s study later shows that unionized firms are less likely to invest in R&D and capital expenditure as a re-sult of these higher costs.

As such, in an age where technological advancements largely dictate the pace of eco-nomic 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

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 global-ization 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 cit-ies in America with over a quar-ter of the population living below the poverty line.

In 1994, business strate-gist William N. Cooke called for more creative ways to abolish the inefficiencies that came with unions while also seeking appro-priate worker compensation. His study claims that non-unionized firms with profit-sharing pro-grams 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 prof-it-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 sec-tor. I’m not calling for an end to unions, but it’s time govern-ments look for solutions to di-minish the inefficiencies within the organizations they operate. While some extreme capitalists might call for immediate priva-tization, it would be unfeasible, and even un-Canadian, to do so in the fields of healthcare and education.

Unions must look to re-define 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 shar-ing schemes and more creative remuneration methods seem to be the first step forward. This would also address the wasteful-ness of employees who see no in-centive 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.

Dann BibasOpinion Writer

Why unions need a makeover, and fast

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

Photo courtesy of Walter Reuther Library

Editorial: Mcgill’s Slipping Laurels

As of 2012, we are proudly running on fumes. Once the dis-tinctive and rallying

call for students worldwide, the McGill reputation is now ag-ing faster than Arnold Schwar-zenegger’s pectorals, and to an equal degree beginning to show. Fundamental to this degrada-tion 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 com-petitive advantage, but a rather crucial factor in building an aca-demic distinctiveness.

In a close second is the bal-looning 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 world-class professors. Without enough money to show on the table, top-tier professors are more likely to be poached by other universi-ties, 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 Qué-bec’s CEGEP system. While most McGill freshmen are tak-ing non-focus courses with the aim to boost their GPA, business freshmen at comparable univer-sities such as Queen’s, Western and UBC are already complet-ing core courses. By the time U1 students begin taking their core courses, the competition is al-ready looking at Derivatives and Applied Corporate Finance. In fact, it seems the only students benefiting from the CEGEP sys-tem are the Québec high school graduates who are almost forced by the system to remain in Que-bec 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 adminis-tration to adapt to the neces-sary changes. The setbacks that U0 commerce students endure, coupled with the dire lack of co-op opportunities, present major challenges to the career-oriented student. The administration, of course, realizes this, but is unable curb this problem with antedilu-vian 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 re-spond to the dynamic education-al 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 haugh-ty-sense of pride and a fading alumni base to sustain their fu-ture. Quite succinctly, it’s either adapt or die, McGill.

The EditorsThe Bull & Bear

How the McGill reputation is a bubble waiting to burst

Opinion

The Bull & Bear

11

January 2012

Tarun Koshy, Opinion Editoropinion@bullandbear.ca

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.

Women Are Human Beings Too

I recall a conversation with one of my female col-leagues who mentioned that women who dress pro-

vocatively “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 to-wards women sparked my inter-est in the feminist movement. Over the last few years, I devel-oped an appreciation for the es-sential 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 miscon-ceptions about feminism. I real-ize 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, opportuni-ties to engage in dialogue regard-ing feminism. There is already a lack of sustainable and social integration that exists within the curriculum, and the void in dis-course 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-

to-men ratio across different departments? Although the argument of equal representa-tion already existing on campus is valid, such an argument does not take into consideration eq-uitable practices. Being treated in an equitable manner means being treated fairly, this is sub-stantially 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. Femi-nists around the world are still pushing for reproductive rights and freedom, gender parity, and actions to stop violence against women. The École Polytech-

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, Hill-ary Rodham Clinton was highly scrutinized during the 2008 Presidential Campaign for wear-ing 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

America and its relevance in so-ciety.

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 class-room dialogue. For example, in Management, students should engage in dialogue about sexual objectification, gender depic-tions in advertising, pay equity, and harassment policies, among many other topics.

Of course, much of the dia-logue requires patience; the start

of any conversation about femi-nism 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 Man-agement students automatically think of equity as the finance term rather than fairness and it is too often that female coun-terparts are encouraged to dress a certain way for presentations (the way an individual dresses is

their prerogative but the example demonstrates some of the norms still entrenched into our soci-ety). The need for feminism in the academic curriculum, in ad-dition to discourse, is also signifi-cant to step beyond the bound-aries of the university sphere. The start of open dialogue in the classroom can empower student leaders and thinkers; empower them to believe and to recog-nize 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 possibil-ities 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 femi-nism 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 proj-ects 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 opportu-nities and if further progress is attainted, it will revolutionize so-ciety and I know that one day the feminist revolution will ignite a community where women’s rights will be interchangeable with human rights.

Shyam PatelContributor

A resuscitation of the feminist movement is needed in our curriculum

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