The problem with anything after LI is that the content model of LI
is %flow;, which allows PCDATA:
        <!ENTITY % flow "(%text|%block)*">
It is convenient for input to allow pcdata after <LI>, but structurally
one should require a <P>.  I propose that at some future point the
Recommended form of flow should drop %text;, or that the Recommended
form of LI should use %block instead.  Then there's no ambiguity about
the whitespace:  it isn't significant.
Regards,
-- Terry Allen (terry@ora.com) O'Reilly & Associates, Inc. Editor, Digital Media Group 101 Morris St. Sebastopol, Calif., 95472A Davenport Group sponsor. For information on the Davenport Group see ftp://ftp.ora.com/pub/davenport/README.html or http://www.ora.com/davenport/README.html