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The online generation thinks: If the news is that important, it will find me. My son who has never subscribed to a print newspaper, gets his news from Facebook, Twitter or from friends. He no longer treats traditional media as a magnet. People now get their messages by relying on other people they trust.

SPIEGEL ONLINE: So what role, in your opinion, can newspapers still play?

arvis: They certainly no longer want to be in the paper business because that is dying out. The information business might be fine but there is no scarcity of information and news online. They could, however, be very effective in the collection business -- just find the best of the stuff that is out there online. They could also use their strong brands to compete in the business of elegant organization by creating information platforms or venturing into new markets. The New York Times has just started a new local program in New York enlisting my journalism students to collaborate online with them to report on their communities. That is the right approach. News outlets need to think distributed, they must collaborate with bloggers or social networking sites. On my blog, I have links to Google News or Google Maps. Innovative newspapers like the Guardian in Britain are equally open to cooperation. They make all their content available free online, they link to all sorts of sites, and in turn they receive more links in return.

Nestled in rocky hills about 40 minutes from Tehran, Pardis Technology Park is supposed to be Iran's answer to Silicon Valley. But these days, Pardis is deserted and forlorn, with many buildings standing unfinished, their exposed girders rusting. Foreign companies are reluctant to invest in the Islamic Republic, and domestic outfits are cash-strapped.

many Iranians like the prospect of working with US companies rather than the Europeans that have been the only game in recent years. "Iranian officials believe Americans are more straightforward in business deals," says Narsi Ghorban, managing director of Narkangan Gas to Liquid, a Tehran energy company. "They get what they want and give you your due."

If businesspeople do come to Tehran, a sprawling city built on steep hills that lead up to snow-capped mountains, they will find some conditions improved. Mobile telephones from other countries finally work, and several private hotels have sprung up. Since the 1979 revolution, social life has never been more liberal. Boys and girls hold hands in public, women show some hair outside their scarves, and checkpoints where police once searched cars for alcohol have all but disappeared. But there's still enough fear of the regime that many people decline to be interviewed.

Alistair Darling insists the recession will be over by Christmas, despite growing doubts over his economic forecasts.In an interview with the Times, the chancellor stuck by his predictions, even though other forecasters, including the International Monetary Fund, have published a much gloomier assessment of the economy. "I am not going to change my forecasts," Darling said. "I remain confident that we will see a return to growth at the turn of the year."In last month's budget, Darling predicted the economy would shrink by 3.5% this year and surprised the City when he forecast a rapid economic recovery, with growth of 1.25% in 2010 and the year after.

Since then, government figures have shown a shock 1.9% plunge in Britain's gross domestic product in the first three months of this year - the sharpest decline in almost three decades.The IMF does not share the chancellor's optimism and believes the economy will continue to shrink next year. It has forecast falls of 4.1% in output this year and 0.4% in 2010.

The chancellor shrugged off fears that Britain could slide into a deflationary spiral after figures yesterday showed retail prices plummeting at the fastest rate since 1948. The government's benchmark consumer price index, which excludes housing costs, still stands at 2.3%, above the Bank of England's 2% target. Darling said the fall in inflation "is in line with expectations. Deflation is something quite different".

The oil price hit a new seven-month high today, fuelling suggestions that the world could soon see a return of the $100 barrel of crude.New York crude oil hit $71.65 a barrel this morning, up by more than one and a half dollars, to its highest level in 2009. The rise followed a $2 jump last night after America's energy forecasting agency raised its estimate for world demand.The oil price has more than doubled in the last four months on the back of speculation that the worst of the economic downturn may be over.

Although the president has the support of the Islamic Revolutionary Guards Corp (IRGC), the clerics still have considerable power over the country's charitable foundations (Bonyads). These multibillion dollar business organizations don't report their income or pay taxes. They report directly to Supreme Leader Ali Khamenei. Their participation in the economy is crucial. They could make life difficult for Ahmadinejad's presidency by increasing their business clout in areas where the IRGC is trying to muscle in. These industries include energy, construction and the import/export sector. Last year, these clerics scored a major victory. Bonyade Mostazafin (Charity foundation for the dispossessed) was allowed to buy and sell oil, allowing them to compete directly with Iran's National Oil Company. This raised the fury of Ahmadinejad's supporters. As means of checking Ahmadinejad's power, they could expand further into this sector, or compete in the lucrative construction sector. These companies also have huge financial assets. These can be used to finance new businesses which compete directly with the IRGC.

They could also side with Ayatollah Rafsanjani. It is an accepted fact that Rafsanjani financed part of Mousavi's campaign. This obviously dented Ahmadinejad's popularity. So much so, apparently, that Ayatollah Khamenei felt compelled to assist the president by allowing fraud. Rafsanjani is already a millionaire many times over. Should the clergy start helping him financially, using his political muscle in the Assembly of Experts and the Expediency Council, he could further challenge Ahmadinejad politically.

The ailing carmaker General Motors has proposed handing a controlling stake of more than 50% to the US government as it struggles to reach a deal with its lenders to avert imminent bankruptcy.The nationalisation, in effect, of the biggest US motor manufacturer would be part of a huge debt-for-equity swap as GM tries to shed $44bn (£30bn) of $62bn in crippling liabilities owed to the government, trade unions and bondholders.

But the plan was condemned last night as "neither reasonable nor adequate", by bondholders who would get only 10% of the company, forcing them to write off billions of dollars. Existing shareholders would be left with only 1%.

With its future on a knife-edge, GM delivered a blunt warning that unless its creditors accepted the plan, it would declare bankruptcy and leave the courts to carve up the company. Fritz Henderson, the chief executive, told a press conference at the company's headquarters: "If this cannot be accomplished out of court, we'll go into court and restructure GM under bankruptcy if it's necessary."

The World Bank has cut its prediction for China's economic growth in 2009 to 6.5% from 7.5%, saying it could not "escape the impact of global weakness". Falling demand for Chinese goods abroad - which the bank said could cost up to 25 million jobs - is the main reason for the projected slowdown. The growth forecast is well below the minimum of 8% that many analysts argue is required to keep China stable. Beijing has spoken of a threat of social unrest if the economy stalls.

Mr Kuijs described the outlook for exports this year as "grim" and "sombre". But he said weakening the currency in the short term would not help to revive exports, because global demand was so weak, and the move would slow China's switch to consumption-led growth.

The drop in trade will hurt investment and job creation, the bank said. It expects between 16 million and 17 million non-farm jobs to disappear this year, but said the key to avoiding instability was an effective social welfare system.

Online shopping is bucking the downward trend on the UK High Street, as latest figures show the "e-tail" sector made a 13% annual sales increase in February.

But, despite the annual increase, February online shopping fell 11% from the month before, the online retail research group IMRG Capgemini says.