-Caveat Lector-

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World Trade Organization


Clinton Sucks Buchanan Wind


Uses WTO to garner labor votes for Gore.

Bill Clinton, the US president, yesterday threatened to plunge the World
Trade Organisation into turmoil by demanding it should incorporate core
labour standards in trade agreements and eventually use sanctions to enforce
them.

Mr Clinton's call, on his arrival at the WTO ministerial meeting in Seattle,
went much further than existing US policy. It will anger developing countries
- four-fifths of the WTO's membership - which condemn as disguised
protectionism western efforts to link trade with labour standards.

Supachai Panitchpakdi, Thailand's deputy prime minister and director-general
designate of the WTO, said having trade sanctions on labour rights in the
organisation would be "highly detrimental". Mr Clinton's proposal could
frustrate the launch of a trade round and cause some developing countries to
walk away from the table.

However, US officials quickly emphasised that Mr Clinton had only been
talking about US long-term goals. "He was expressing an ultimate goal not an
immediate negotiating objective in the WTO."

The president's remarks appeared aimed at satisfying US labour unions, led by
the AFL-CIO, whose support for vice-president Al Gore and other Democratic
candidates at next year's elections is considered crucial.

About 25,000 union demonstrators marched through Seattle on Tuesday to demand
the WTO should enforce labour standards. They were by far the most numerous
of the protesters, who ranged from environmentalists to human rights and
consumer activists. Much of the city centre was plunged into chaos when they
took to the streets but calm returned yesterday.

Mr Clinton told a Seattle newspaper: "What we ought to do first of all is to
adopt the US position on having a working group on labour within the WTO, and
then that working group should develop these core labour standards, and then
they ought to be part of every trade agreement, and ultimately I would favour
a system in which sanctions would come for violating any provision of a trade
agreement." Until now, the US has suggested only that the WTO should create a
working group to analyse links between trade and core labour standards such
as prohibition of child and prison labour. Many developing, and some
industrialised, countries say even this limited proposal is unacceptable.

Britain was yesterday trying to head off a confrontation over labour rights
by trying to rally developing countries behind a compromise proposal. Based
on an EU proposal, it calls for the World Bank to join the WTO and the
International Labour Organisation in setting up a standing joint committee on
labour standards.

The Financial Times, December 2, 1999


Digital Society


Murdoch Tells Governments to Get Off Internet


Empowering ordinary people.

OXFORD, England (Reuters) - Media tycoon Rupert Murdoch sealed his conversion
to the Internet Wednesday, painting a picture of a bright technological
future hampered only by natural disasters and -- worse still -- meddling
governments.

He told Oxford University students in a lecture that the Internet was a
revolutionary liberator of the individual that would sweep away rather than
deepen social inequality and meet all our needs.
The head of News Corp., who until this year had a cautious approach to
business on the World Wide Web, said the valuation of Internet companies such
as Yahoo and AOL was ``sometimes mystifying.''

But he said such high values were easier to grasp if one believed, as he
appeared to, that the Internet's value would grow exponentially once enough
people were online.
``I am not among those who fear that new technology will widen the gap
between rich and poor,'' he told students at the university where he studied
-- with, he confessed, a bust of Lenin in his rooms -- in the long-ago 1950s.

``We are not headed to a world in which the rich will have access to
computers and related technology while the poor muddle along computerless.
The new technologies are becoming widely available.''

Murdoch said the Internet empowers ordinary people by giving them knowledge
others previously had hoarded.

He predicted a strong future for new and existing trusted brand names that
people, burdened by unparalleled choice, would turn to for the information
and goods they needed.

Hoping to ensure his News Corp. is among them, Murdoch this year entered a
major partnership with Japan's Softbank Corp. to invest in Internet
companies, signaling he was embracing the revolution.

``Take A Holiday At Your Peril''

The 68-year-old, who saw the maintenance or mechanical preservation of the
brain as the next achievable challenge, said the new era had come upon the
business world with blinding speed.
``In my own business, change is so rapid that you take a holiday at your
peril. You might return ... to find a changed world,'' he said.

Murdoch predicted that as much change would be squeezed into the next two to
three decades as in the last 200 years, and suggested governments, who would
face growing problems in tax collection, should embrace change, sell it to
their people, and stand aside.

``Governments will have to get out of the way of change,'' he said. ``Change
is not only accelerating, its direction and consequences are becoming less
predictable. Central planning is a dangerous game.''

He said technology would enable us to feed the world and raise living
standards all round, if governments allowed it to.

``The only 'social exclusion' we will see in the coming millennium will be
the result of wrong-headed government policies.''

The Australian-turned-U.S. citizen has faced hostility in Britain and other
countries for his powerful hold on newspapers, television and other media.

Thrice-married Murdoch called for a return to family values and attacked
continental European states -- which he said had created no net new
private-sector jobs in 20 years -- for sneering at the U.S. model of economic
success.

He told reporters he still thought the Euro currency would be bad for
Britain, but was trying to keep an open mind.

Yahoo News, December 2, 1999


Models


Elite Says Remorse Is Out of Fashion


15 is a very good year.

THE Elite modelling agency yesterday proved that there are fashions in shame
and penitence.
An inconclusive series of resignations, re-instatements, charges and
counter-charges showed that its disgraced French executives are only too keen
to return to "business as usual" after a BBC exposé of the fashion world.

The £60 million agency, which represents some of the world's most beautiful
women, is still reeling after a BBC documentary showed the dark underside of
modelling. It alleged that underage girls came under heavy pressure to have
sex and take drugs.

Gerald Marie, the president of Elite Europe, was shown in a hostess bar in
Milan, where he offered a model one million lire to sleep with him. He was
also seen telling an undercover reporter that he hoped to have sex with
several of the contestants in the Elite Model Look contest, where the average
age is 15.

"How are you, then . . . boom," he says, describing his approach. "We only
keep 15, the 15 best ones and then . . ." At this point, he rubbed his hands
together and makes an unmistakeable grinding gesture. Xavier Moreau, the
president of the Elite Model Look contest was shown making racist remarks.

Although both men promptly stepped down after the programme was shown and M
Marie acknowledged responsibility for his words, he now seems weary of
grovelling and has gone on the counter-attack, accusing the BBC of
fabrication and the French press of distortion.
The board members and principal shareholders of Elite Europe asked both men
to resume their posts, an invitation which they were evidently keen to
accept.

There is only the small matter of public perception to consider - and the
views of Elite's founder-chairman, John Casablancas, who heads Elite Model
Management in New York. Mr Casablancas offered an "unreserved apology" for
the behaviour of the executives, which he called shocking and unacceptable.

M Marie's Paris office yesterday stressed that Mr Casablancas, as an
American, had to deal with the "puritanism" of the public at home, whereas in
France views on sexual morality were less rigid. M Marie, said Michelle
Marchand, a spokesman, did not come under Mr Casablancas's authority and
intended to return to his position once an "investigation" into the
allegations had been made.

She said: "M Marie can return when he likes, it's up to him. For the time
being, he has decided to stay out, but when all is clear and clean, he will
of course come back. M Marie is Elite Europe and he has the support of his
board."

He had not, she added, committed any criminal offences and therefore should
not be punished. She said: "The programme was very misleading and contained
many fabrications."

The defiant attitude of Elite Europe contrasts strongly with the mood in
America, where Mr Casablancas cannot afford to give the impression of
nonchalence.

If the Elite Europe investigation confirmed that M Marie had used the words
and gestures attributed to him, said Mr Casablancas, he should go
permanently. He said: "I may not be in a position to dictate, but if the
majority of the Elite Europe shareholders decide to maintain M Marie and I
felt this was incorrect, I would resign."

The London Telegraph, December 2, 1999

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