Death by Car

capitalism's drive to carmageddon: news & comments

A DbC Apology

oiled bird I apologize to DbC readers. At the height of the Macondo Prospect blowout in the Gulf of Mexico, I said the following about the idea that President Zerobama would start listening to sanity about energy and ecology. “Nothing,” I then predicted, “could be more threatening to the continuance of corporate capitalism. There will be much hand-wringing, a few monkey trials, and another toughening of the regulations. Then deep-water drilling will resume in full. Nothing else is possible, barring a major social upheaval.”

Mea culpa: There have been neither monkey trials nor major new rules. And the partial pause lasted 15, not 6, months. Until yesterday, when the pre-Horizon Deepwater course was re-adopted:

WASHINGTON — The Obama administration on Tuesday announced its proposed five-year plan for offshore oil drilling, which calls for opening new areas in the Gulf of Mexico and Alaska.

MSNBC reports:

The sales off Alaska, where native groups and environmentalists have objected to drilling, would be the first since 2008. And they would [include the] Chukchi and Beaufort Seas, which Interior officials called a “frontier” for drilling.

In the western and central Gulf,…the proposal puts all unleased acreage up for sale.

By the way, the semi-major social upheaval going on has been essentially silent about energy and ecology.

rail_tear Politics in this plummeting empire would have to improve substantially to become merely surreal.  As it stands, they are wildly anti-real.

Consider the fact that Zerobama is in mildly warm water for leaning on the Ford Motor Company to yank a television ad bragging about Ford not taking government bailout money.  Zerobama, bailer-out of not just the automotive corporations but the whole array of for-profit medical operators, and self-conscious (and highly effective) pitchfork deflector, might or might not have sent a letter to Ford asking it to suppress its ad.

In response, the far-rightists are now trying to turn that possible act into political hay.

The issue at the heart of the matter, meanwhile, is how much validity resides in the pulled ad, which apparently ran as follows:

The Ford commercial was the first time an automaker had made the message part of a national ad campaign.

The ad is part of Ford’s “Drive One” campaign to win over consumers from other brands. In it, a Ford owner, identified only as Chris, says, “I wasn’t going to buy another car that was bailed out by our government. I was going to buy from a manufacturer that’s standing on their own: win, lose, or draw.”

The proposition here (and its amplification by the R wing of the ruling duopoly) is a moderately clever and completely typical move:  No mainstream politician, Ford and and the Rs know, is either permitted or inclined to mention the fact that cars-first transportation would not exist, were it not for huge annual flows of public preference and subsidy.  The annual cost of road-building alone is larger than the entire automotive bailout program was, and also far larger than the portion of the bailout loans that will not be recouped.

We won’t go into details about the portion of the nation’s police, court, and hospital costs caused by cars-first transportation.

Suffice it to say that the notion that any car-related capitalist is “standing on its own” is simply Orwellianly and petulantly deluded and dishonest.  Only in America, as they say!

prius-in-the-sky Led by Stepin Fetchit Obama, the overclass has just concluded another round of MPG charades. This time, they have reached a “deal” purportedly “requiring” car capitalists’ new-vehicle fleets to average 54.5 miles per gallon by 2025.

Given Big Money’s de facto ownership of politics in the United States, this is essentially an act of self-policing, so, of course, this “deal” is next to meaningless. As Automotive News reports, there already are two yawning loopholes.

First:

The Detroit 3 won a major exemption for their highly profitable full-sized pickups. The administration’s corporate average fuel economy proposal, details of which still must be worked out, would exempt full-sized pickups from any fuel economy increases from the 2017 model year through the 2019 model year, automotive representatives said.

Second:

Even for regular passenger cars, “the plan for 5 percent annual increases could be changed if a midcourse review, planned to begin in 2018, determines that it would adversely affect industry costs and vehicles sales.”

The main point of the whole endeavor, in the opinion of DbC, is actually not any kind of serious public control over miles-per-gallon. MPG is going to increase with or without any such “deals,” given the realities of Peak Oil. The real point of this kabuki is perpetuating a key mis-perception of reality: the notion that the energy efficiency of automobiles is merely a matter of human intentions and political checks-and-balances. Could MPG ever be 100, 200, 300, 500, 1,000? “Sure, if only the conservatives would wake up and smell the coffee, yes.” That’s the intended message for greens and liberals.

Of course, as DbC has always maintained, like everything else in the known universe, automobiles are subject to the laws of physics. As such, 3,000-pound metal boxes carrying humans at highway speeds can only ever get so efficient. Indeed, after a century of intensive corporate R&D and lavish public subsidy, it is DbC‘s position that existing cars are much closer to the asymptote of maximum efficiency than capitalists and liberal greens acknowledge.

If you doubt this claim, take a look at this excellent post by the extremely helpful analyst Tom Murphy. Murphy’s estimate of the actual top limit of highway MPG for cars that are usable under the cars-first conditions that prevail in the USA? 56 MPG.

Do you think the type of basic-physics analysis done by Murphy is unknown to the powers-that-be? That it’s a mere coincidence Murphy’s estmimate is almost exactly the promised ultimate MPG figure?

If so, I can still get you that excellent deal on the Brooklyn Bridge…

Cave You Can Believe In

Nobody denies that domestic U.S. petroleum production passed its peak 40 years ago and has zero chance of ever regaining it. That, of course, has no impact on mainstream reporting and politics, where everybody plays the game of implying that some secret stash will be unlocked and return the United States to carefree cars-first living.

In the least surprising news of the month, Zerobama, the most fraudulent of all modern U.S. Presidents (a major competition, I know, but one he easily wins), is now officially piling onto this remarkably dishonest game, having just announced, in his unchanging didactic techno-smarm, that he’s caving in to demands to further deregulate domestic oil and natural gas drilling.

The only effect of this latest item of complete conventionality will be to raise the level of ecological destruction that accompanies the ruling institutions’ perpetuation of the nation’s massively unsustainable transportation infrastructure.

legend First, we had Kurt Cobb saying that the public “agreed to allow the private automobile to become the dominant form of transportation.”

Today, we find James Howard Kunstler, after properly berating President Zerobama for his craven dishonesty on energy policy, saying that “President Obama is merely reflecting the foolish obsession of the public,” whom Kunstler claims “refuse to even think about anything else” other than keeping cars-first transportation going.

How does Kunstler know what the public refuses to contemplate?  Has there ever been any serious choice offered or even mentioned?  Of course not.  From the moment the private automobile entered the historical scene, corporate capitalists have refused to permit robust democratic discussion of basic transportation policy options.

Personally, if I believed that the American public had zero willingness to think about changing our transportation order, I would certainly not be wasting my time and yours writing about it.

As it is, I hope I live to see the day when a social movement for progressive survival puts somebody in high office who offers the first honest assessment of transportation choice in American history.  The powers that be, after all, are suppressing that for a reason. The facts, when known, are pretty damned radical.

Green Naivete

zero Remember this? “President Obama is expected to deliver a speech on oil and energy issues on April 20, the anniversary of the 2010 Gulf Oil Spill,” so let’s petition him to mention Peak Oil!

What’d we get?

Peak Oil was certainly not mentioned, and neither was the anniversary of the oil rig explosion — because there was no speech!

There were, however, these 3 powerful and impassioned paragraphs in a press release.

The Oil Subsidies Charade

sleight-of-hand President Zerobama and the green establishment are teaming up to push the notion that federal tax breaks for oil companies are at the heart of our mounting energy problems. The claim is that eliminating $4 billion dollars in special tax write-offs for petroleum corporations will somehow allow “alternative” energy production to gain an equal footing and, thereby, yield viable new energy supplies that can replace present flows.

It would be hard to find a more ridiculous piece of demagogy than this, even in our age of truly shameless counterfactual lies.

The main lie here is the ulterior one: the implication that “clean energy” is just waiting to burst forth, if only we would give it a chance. The reality, of course, is that all the “alternatives” being pushed are: a) already being heavily subsidized by the public; b) old; and c) hopeless.

It’s also hugely silly, of course, to pretend that ending a $4 billion tax loophole is a serious act in the scale of things. Not only would the subject corporations be exceedingly likely to find new ways to favorably re-shift their already loophole-riddled tax bills, but Exxon alone reports official profits of $9.25 billion for just the fourth quarter of 2010.

As the supposed progressives waste everybody’s time with such magical thinking, the oil corporations are preparing themselves and their shareholders for maintaining their privileges as host societies plunge into a future of extraordinary misery.

With a left like this, who needs the right?

royalty The ruling ideology, distinctly including its academic manifestation, holds that automobiles are freedom machines and social equalizers. Cars-first transportation “unites [Americans] across class, racial, ethnic, and religious lines as few other aspects of our society can,” alleges Rutgers University transportation engineer James A. Dunn.

Of course, this familiar incantation is about as counter-factual as you can possibly get.

The claim, as DbC has explained before, doesn’t even hold water at the level of automotive usage. There, the rich enjoy the luxuries and choices, while the poor scrape, suffer, and go without. The distribution of cars, if one bothers to actually look at the uncontroversial facts, is one of the least equal categories of “consumer” goods.

The much more significant link between automobiles and social stratification, however, enters at the level of business ownership and the question of who benefits from selling cars. If you examine the institutional facts here, you discover that cars-first transportation is — literally — lifeblood to the investing class. Without it, the enormous privileges and prerogatives its members continue to enjoy, despite the times, would be in severe jeopardy.

If you doubt this link between cars and the upward flow of surplus wealth, consider the news that one of the major proponents of the latest, just-announced Obamian cave-in — the extension of greatly reduced estate tax rules — was none other than the National Association of Automobile Dealers. In the middle (or is it still the beginning?) of Great Depression III, you might think that NADA would favor measures to equalize income and wealth at least a little. After all, despite the inequities on the matter, it is commoners who buy most of the cars.

So why did NADA instead lobby for further extending the supply-side cap on estate taxes, a rule which overwhelmingly benefits the already-rich and, thereby, deprives the masses? As Automotive News reports:

WASHINGTON — In a victory for auto dealers and Senate Republican Whip Jon Kyl, President Obama and congressional Republicans agreed on a tentative tax-cut package that would head off a huge increase in the estate tax.

The agreement yesterday, which still has to be approved by Congress, would set a maximum estate-tax rate of 35 percent for two years with an exemption of $5 million for individuals and $10 million for couples.

“This (proposal) will help restore consumer confidence and speed economic recovery,” the National Automobile Dealers Association said in a statement today.

The NADA and other groups pushed for the estate-tax rate in the proposal as an alternative to the Obama administration’s plan earlier this year for a 45 percent rate with an exemption of $3.5 million per person.

The average net worth of an auto dealership was $2.2 million in 2009, according to NADA data, suggesting that most dealerships would not be subject to any estate taxes under yesterday’s proposal.

About half of all U.S. dealerships are second- and third-generation family businesses, NADA spokesman Bailey Wood said.

In other, more honest words, car dealers are capitalists, and, as such, they always place themselves first, because they can and are used to it and believe they deserve it. “All for ourselves, and nothing for other people,” as one radically misinterpreted social critic once observed of the first principle of all overclasses, clearly remains the maxim of “the masters of mankind.”

This amazing piece of short-sightedness, of course, is but the tip of the iceberg. The automotive industrial complex remains a pillar of corporate capitalism and its drive to maximize and maintain overclass wealth flows. Automobile dealerships are small potatoes inside that order. As always, across the whole system, even when its own interests are close and easy to see, today always trumps tomorrow for our self-described “entrepreneurs.”

And, in the real world, that’s cars for you: Heedlessness machines and social polarizers.

buick city

Today, we get news of the latest Obama bailout of corporate capitalists. Today, it comes in this form:

WASHINGTON (AP) — The Obama administration has reached a deal on a $773 million environmental trust, the largest of its kind in U.S. history, to clean up dozens of former General Motors sites spread over 14 states, officials said Wednesday.

The funds will target automotive sites containing hazardous waste that were left shuttered by the auto giant’s bankruptcy last year. About half of the 89 sites covered by the trust are in Michigan and others are in Indiana, New York and Ohio.

At GM’s abandoned Massena, New York complex, the pool of PCBs is so deep it has not yet been (and possible could never be) even measured, despite decades of controversy.

One effect of this toxic lake? “[New York] State-conducted studies have found PCBs in the breast milk of nursing Mohawk mothers and in their infants.”

All this and more (dig the name of the bankrupt corporate shell of the “old GM” — Motors Liquidation Company (MLC) — where’d the “General” and the “GM” go, boys?) is interesting in its own sordid Obamian right.

But permit me to enlarge: The more general point is that manufacturing automobiles is inherently energy-, materials-, and toxics-intensive. “Green car” is an oxymoron, whatever motor ones stick in.

Car Materials

Not as a way of restoring the corporate capitalist economy, of course, but as a way of restoring corporate profits.

According to Automotive News, the latest overclass constituency to confirm that its conventional flows of surplus wealth have been brought back online is the nation’s largest used-car sales overlord, CarMax:

CarMax Inc., the nation’s largest used-vehicle dealer group, said today it posted solid revenue and profit growth in its most recent quarter amid continued strong demand for used cars. Net income grew to $107.9 million for the quarter ended Aug. 31, up 5 percent from the same quarter last year. Revenue jumped 13 percent to $2.34 billion.

CarMax shares jumped nearly 7 percent in morning trading, to $25.75, near its 52-week high of $26.50.

And, of course, a government bailout program provided the catalyst:

Even though the cash-for-clunkers program didn’t apply to used vehicles, Carmax said it increased traffic at its stores.

The average selling price for used vehicles was $18,084 for the quarter, up 5 percent from $17,185 during the same quarter last year.

Its finance arm, CarMax Auto Finance, reported income of $52.6 million compared with a $72.1 million profit in the same period last year. The year-ago period’s income was boosted by $36.2 million in one-time items.

Never let it be said that this country doesn’t take care of its used car corporations!