The contest, which was open to professionals and academics from all 46 of the IDB's member countries, sought entries that analyzed the possible consequences of applying labor standards in the context of regional and hemispheric integration.

Robert M. Stern, director of the International Program at the Institute for Public Policy Studies at the University of Michigan, was awarded the first prize for his essay "Labor Standards and International Trade." The prize, which included $10,000 and a commemorative statuette, was awarded during the ILO Caribbean Symposium on Labour Issues in the Context of Economic Integration and Free Trade, held in Port-of-Spain, Trinidad and Tobago, Jan. 20 22.

Three other essays were also nominated for the prize. They were written by Angelique Lawrence, an independent economic consultant; Morley Gunderson, professor of economics and director of the Centre for Industrial Relations at the University of Toronto; and Graciela Bensusán with Bodil Damgaard. Ms. Bensusán is a political scientist at the Universidad Autónoma Metropolitana-Xochimilco in Mexico City, and Ms. Damgaard is a researcher at the Facultad Latinoamericana de Ciencias Sociales in Mexico City.

Stern's essay reviews the principal views on the issue of labor standards, which have become more contentious in recent years as labor unions in industrialized countries have demanded that developing countries adopt stricter labor laws, claiming that laxer legislation gives firms an unfair competitive advantage. "In conclusion, it must be stressed that the policies of the United States and other industrialized countries should be directed to maintaining open markets and encouraging the economic growth of their developing country trading partners," Stern writes in the essay's executive summary. "This is the surest way to achieve higher labor standards since there is pervasive historical evidence that standards are improved with higher levels of per capita incomes. This suggests accordingly that national governments in developing countries should institute proactive policies designed to improve working conditions and workers' rights as their economies expand and more resources can be channeled towards social betterment."

Executive summaries of all four essays can be read at www.iadb.org/intal.