GM, Ford and Chrysler represent to a large degree the Industrial Age legacy of manufacturing in the U.S. “What was good for General Motors was good for the United States” was, for decades in the 20th century a very true statement. The manufacturing might of America post WWII was an economic miracle and the apotheosis of the Industrial Age. Supported by the explosive growth of television and the American advertising business, the consumer market of wondrous new goods exploded. The Big Three auto companies rode this wave to unprecedented success.

Every year, there were the exciting new model introductions of all the auto makes in the Fall. Families became conditioned to buying new cars every few years just to keep up with the styling - and their neighbors.. Planned obsolescence was part of the business plan of the U.S. auto industry. The oil embargo of 1973-74 was a major hiccup and it provided a market opportunity for Japanese auto makers to enter the market with small cars that provided higher MPG than those provided by the Big Three. Once the price of oil collapsed after the Iranian revolution the next two decades of cheap oil allowed the Big Three to manufacture ever bigger SUVs and trucks which they sold the American public with their powerful marketing efforts.

The problem was that the leadership of the Big Three never adjusted to the post-9/11 world. Oil has increased in price by 1400% since 1998 and …

The fact that you know what I mean when I write the two words “Big Three” points to the power of Detroit and U.S. automotive marketing in the last half of the 20th century. The fact that they are no longer the big three in terms of sales in the U.S. points to the reality of the 21st century.

This year Toyota will finally top GM in sales in the U.S. In 2005 GM’s market share was twice that of Toyota’s. Think Prius and fuel economy. GM recently announced the closing of four manufacturing plants in North America and Mexico. Guess what they made there? Trucks and SUVs. Think $4 and soon $5 gallon gasoline. Since 1991, the Ford F-150 pick-up truck was the number one selling vehicle every year in the U.S. Not this year. 2007 will be the last year that a pick up truck will ever be the best selling vehicle in the country. Chrysler, while still getting plenty of style points for their vehicles, has been sold twice and, like Ford and GM is losing billions of dollars. Wall Street is downgrading Big Three stocks. The early 20th century phrase: “What is good for General Motors is good for America” is no longer operative because GM lost their view on what was good for America.

Now, long time readers of this column know that I have written positively about GM in past columns. …

Growing up as part of the baby boom generation, a distinct memory is the air raid siren tests.  Every Tuesday, if I recall correctly, at 10a there was the test of the air raid siren blaring across the entire city of Chicago.  This was to prepare us for the possibility of a nuclear attack from the Soviet Union (so we could crawl under our desks as instructed by our teachers).  Since it happened each week at the same time we knew it was a test.  If it had happened on any other day, I might not be writing this column today.

The other thing I remember were those times, while riding in the family car, of listening to the testing of the national alert system via the AM radio airwaves: “This has been a test of the emergency broadcast system”.  What examples of communicating to the populace; sirens that pierced the air of every population center in America and the then ubiquitous AM radio band.  The air raid siren being the industrial age amplification of the town crier and the AM radio being the most widely distributed form of electronic media at that time.

All this came back to me a couple of weeks ago when I read that the FCC had approved a plan for an emergency alert system that would send text messages to cell phones. This system is expected to be in place by 2010. Now that 75% or the population have cell phones and we carry them every …

A Future View of America

The magnitude of the energy crisis we now face in the U.S. cannot be overstated. It is not just about cutting the emission of greenhouse gases, the increasing price of petroleum or the fact that we are dependent for oil on countries that only hold us in high regard as customers. It is about the fact that our entire physical landscape and a large part of our social and economic interactions are predicated on the assumption of cheap petroleum, an assumption that is no longer valid.

Petroleum will continue to rise in price as I have consistently predicted in this column. We are most likely going through peak oil and when we accept responsibility for contributing to global warming we realize that all fossil fuels and the burning of them has incredibly dire unintended consequences. In addition we are a debtor nation with a crumbling and in need of repair infrastructure. Where is this leading us?

I have long been a fan of James Howard Kunstler’s book ‘The Long Emergency’ and have recommended it to many people. [In addition his blog is one I recommend in conversation and have recommended on my links page since the inception of Evolution Shift.] This best selling book details in a persuasive manner the coming deconstruction of American society due to the converging crises mentioned above. Having read this non-fiction book from a novelist, it was no surprise to find that Kunstler was writing a novel about post long emergency’ America. It is called ‘World Made …