We present new models of non-linear electromagnetism which satisfy the
Noether-Gaillard-Zumino current conservation and are, therefore, self-dual. The
new models differ from the Born-Infeld-type models in that they deform the
Maxwell theory starting with terms like λ(∂F)4. We provide
a recursive algorithm to find all higher order terms in the action of the form
λn∂4nF2n+2, which are necessary for the U(1)
duality current conservation. We use one of these models to find a self-dual
completion of the λ(∂F)4 correction to the open string
action. We discuss the implication of these findings for the issue of UV
finiteness of N=8 supergravity.Comment: 10 pages, revtex4, no figures, 1 table, new reference added, minor
typos corrected, accepted for publication in PR