Editorials
Thursday, November 27, 1997THE Asia-Pacific Economic Cooperation summit in Vancouver this year was much more than the annual ritual it has become since its inception five years ago. By endorsing a plan to shore up stricken Asian economies, the leaders of the 18 APEC member countries sought to administer a badly needed dose of confidence. The plan, forged a week ago in Manila, calls for billions of dollars of bailout funds to be provided in exchange for agreement to comply with rules set down by the International Monetary Fund to end cronyism and lax lending practices and restore the countries' economic health. APEC struck the right
note on economic woesStating that it was "critically important" to act quickly, the leaders' communique said they would support the bailout plan for countries hit by the crisis -- South Korea, Thailand, Malaysia, Indonesia and the Philippines. The blueprint puts the International Monetary Fund (IMF) and its strict reform requirements at the center of any rescue, with financing from individual countries as a backup.
This appeared to be a victory for President Clinton. The United States had discouraged proposals to set up a separate bailout fund that would circumvent the IMF and the sometimes painful rules it imposes as a condition for aid.
APEC includes both the economic powerhouses of the region -- the U.S. and Japan -- and the so-called "tigers" that have suddenly turned into ailing pussycats but are not eager to take the bitter medicine of the IMF.
Judging from the communique, it appears that leaders such as Thailand's Prime Minister Chuan Leekpai have decided to submit to the IMF's conditions, which is a positive development because it could prevent a recurrence of these problems.
Despite the current crisis, APEC refused to be pessimistic. The leaders' statement declared, "We agree that the prospects for economic growth in the region are strong, and the Asia-Pacific will continue to play a leading role in the global economy."
This prognosis seems right. The current crisis may be nothing more than a case of economic indigestion brought on by excessive optimism and failure to maintain financial discipline. There is no reason to consider it the beginning of a permanent decline. But in the short run, a pause in the region's spectacular economic growth seems likely, and that is not good news for Hawaii's efforts to stimulate the local economy.
THANKSGIVING as an American holiday is derived from the Pilgrims' celebration of their first harvest, which saved them from starvation, and their desire to thank God for it. In semi-tropical Hawaii in the closing years of the 20th century, we are in no danger of starvation during a harsh winter. We take the blessings of modern life in a beautiful and comfortable environment for granted. Thanksgiving 1997
There are of course other hazards today and many reasons to be thankful that we have not fallen victim to them. The threat of another war with Iraq was with us again last week. Although it has not entirely disappeared, it has at least diminished, and that is no small blessing.
U.S. Army troops still stand guard near the Demilitarized Zone in Korea and engage in peacekeeping patrols in Bosnia. U.S. Air Force, Navy and Marine Corps personnel are on duty at home and overseas to protect us and deter aggression. But no Americans are currently involved in a combat situation -- surely something to give thanks for.
The U.S. economy is enjoying one of the longest stretches of growth in history, and even the current economic troubles in Asia may not suffice to end it. Hawaii's economy remains in the doldrums, but the task force assembled by Governor Cayetano has come up with an action plan that he will submit to the Legislature. The result could be enactment of significant reforms that might produce improved conditions.
Hawaii continues to compare well with the other states in violent crime, health and environmental quality. Despite the complaints -- and there will always be something to complain about -- this is still a great place and a great time to live. Be thankful.
CIRCUIT Judge Wilfred Watanabe made the right call in accepting state Sen. James Aki's request for a deferred acceptance of his no-contest plea to felony gambling charges. The decision means that the former Senate president won't go to jail and has the privilege of remaining in the Legislature if he stays out of trouble for the next five years. Right decision on Aki
Aki was charged in connection with an illegal gambling operation that was conducted on his property in Nanakuli by a church group. He said he leased the property because he thought the group was going to raise funds for scholarships.
Aki maintained that he didn't know that anything more serious than "social gambling," which is legal, was going on. He said he wasn't involved in the operation and received no income from it. In fact, the tenants still owe him rent. Aki should have known what was going on, but his claim of ignorance is credible.
The senator pleaded no contest to the charges on July 7. But it does not appear that his actions justified the prosecutor's recommendation that he serve as much as 30 days in jail, pay a $10,000 fine and perform 200 hours of community service.
In addition, if he had been convicted, Aki would have been barred from holding state office. Instead, he was fined $1,000.
Aki was guilty of poor judgment, but he appears to have had no criminal intent and did not benefit from the illegal operation. A fine seems sufficient.
Rupert E. Phillips, CEO
John M. Flanagan, Editor & Publisher
David Shapiro, Managing Editor
Diane Yukihiro Chang, Senior Editor & Editorial Page Editor
Frank Bridgewater & Michael Rovner, Assistant Managing Editors
A.A. Smyser, Contributing Editor
