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How America Fell "Asleep At The Spigot" Print E-mail
Written by Samantha Hulkower   
Tuesday, 08 July 2008

With Americans ditching their SUVs in search of more efficient, smaller cars, high gas prices are likely to be more effective than legislated CAFE standards in motivating Detroit to start producing a greater selection of more fuel-efficient vehicles.

Over the weekend, the New York Times took a look at why Washington has allowed our domestic fuel economy standards to stagnate while vehicle size grew to the point that vehicular transportation now accounts for 70 percent of our fuel consumption. And if you're unlucky enough to have to drive to work in the morning, it's painfully clear that most of those cars only have one passenger -- also not very efficient.

According to the Times, Congress is "furious with Detroit" for preventing higher CAFE standards from coming into effect sooner. We think their anger is misplaced, because as it has been a while since we took high school social studies, we're pretty sure it's Congress that makes the laws, not handful of businesses in the Midwest. (Regulations are a whole other can of worms ).

We recommend the article, if only for its thorough recount of oil and auto politics over the past 30 years. Well that, and the fact that the original Times article noted how former Senator Jesse Helms did not return calls for comment on his voting record described in the piece. That may have had to do with the fact that Helms died two days before the story was published, but at least they tried.

Anyway, as the Gray Lady was taking Congress to task for not addressing the nation's oil consumption sooner (because let's be real here, oil is a finite resource and this was bound to happen eventually), the Washington Post was examining how four other nations are looking to prevent their own domestic energy crisis by being proactive about their energy independence.

One of the countries' highlighted for its foresight to switch its transportation fleet to something it doesn't need to import was Iran. Yes, Iran has a more responsible and proactive government than the US. Since Iran has to import its gasoline (it doesn't have the capacity to refine its abundant crude resources), its switching its transportation sector over to natural gas, which it has plenty of, and will prevent the nation from being effected by a possible oil embargo.

It seems our politicians have finally gotten what they've always wanted: the free market is effectively working, and it is responsible for the decrease in the demand for Hummers and increase for the most fuel-efficient vehicles. But, all those layoffs the Big Three warned about over the years -- the reason they strong-armed Congress into preventing a better fuel economy bill from being passed -- are happening anyway. First they said higher CAFE meant shutting down plants, now their inability to keep up with demand, unlike their foreign competitors, are resulting in those same, feared job losses. But, at least it isn't Congress' fault.

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