The break
From the end of the '80s until the year 2000, the world got a break with the price of oil, the barrel even going down to $11 during the '90s. The global economy regained its lustre, boasting an unprecedented growth. At the same time, car builders who had to hold back for years, have again started building vehicles ever more luxurious, eccentric, powerful, and especially gluttonous.
The "farm vehicles"
It's in this period that minivans and SUVs are born. These two types of vehicles, considered because of their structures to be part of the farm vehicle category, aren't subjected to the fuel economy restrictions. By doing so, we've witnessed an uncontrolled skid in the fuel economy of vehicles. The consumption of the fleet of vehicles has risen instead of diminishing. In addition, companies like GM will buy companies manufacturing small Asian cars in order to maintain the total average of their fleet's fuel economy, which will allow them to continue producing energy-hungry vehicles.
A small parenthesis here: if I'm always talking about the American politics within every crisis, it's because Canada has always, or often has, following the politics of the USA. That's why I prefer going directly to the source.
And now, the fourth crisis
This fourth crisis, which we are assisting right now, is different and more serious than the others. First of all, while the rise is once again fuelled by international events, it can't be temporary this time. As a matter of fact, if numerous events like the conflicts in the Middle East, le limited capacities of oil refining, the storms that impair boats, the rise of the demand in China, and whatever other excuse for speculating increases, there is a new factor: the consumption peak. We're getting to a point where the demand is higher than the offer, which can only cause the prices to rise. (For more details, read the article titled "Let's face the truth")
The current war, the first one in which the Americans declared war since the Second World War, calls for different measures.
The measures for the fourth crisis
This time, the American measures during the war are, let's say, quite different.
From the end of the '80s until the year 2000, the world got a break with the price of oil, the barrel even going down to $11 during the '90s. The global economy regained its lustre, boasting an unprecedented growth. At the same time, car builders who had to hold back for years, have again started building vehicles ever more luxurious, eccentric, powerful, and especially gluttonous.
The "farm vehicles"
It's in this period that minivans and SUVs are born. These two types of vehicles, considered because of their structures to be part of the farm vehicle category, aren't subjected to the fuel economy restrictions. By doing so, we've witnessed an uncontrolled skid in the fuel economy of vehicles. The consumption of the fleet of vehicles has risen instead of diminishing. In addition, companies like GM will buy companies manufacturing small Asian cars in order to maintain the total average of their fleet's fuel economy, which will allow them to continue producing energy-hungry vehicles.
A small parenthesis here: if I'm always talking about the American politics within every crisis, it's because Canada has always, or often has, following the politics of the USA. That's why I prefer going directly to the source.
And now, the fourth crisis
This fourth crisis, which we are assisting right now, is different and more serious than the others. First of all, while the rise is once again fuelled by international events, it can't be temporary this time. As a matter of fact, if numerous events like the conflicts in the Middle East, le limited capacities of oil refining, the storms that impair boats, the rise of the demand in China, and whatever other excuse for speculating increases, there is a new factor: the consumption peak. We're getting to a point where the demand is higher than the offer, which can only cause the prices to rise. (For more details, read the article titled "Let's face the truth")
The current war, the first one in which the Americans declared war since the Second World War, calls for different measures.
The measures for the fourth crisis
This time, the American measures during the war are, let's say, quite different.
- In fact, a few years after raising the speed limit in numerous states, haven't lowered it down again.
- The American government and the big three American manufacturers went to Supreme Court to protest against a Californian law in which the builders must reduce their fleet's fuel consumption by 2 mpg.
- President Bush has pronounced many speeches since September 2001 encouraging Americans to go out, spend, travel, etc. In short, to consume as most possible and even saying that doing so is a "patriotic" gesture. We are far from the rationing of the Second World War...
- As early as two weeks ago, the American government's last energy bill was signed by George W. Bush. This new policy, far from trying to find alternatives to oil and gasoline, gives out subsidies to oil companies (yes, oil companies) so they can develop new technologies in exploration and exploitation. As for alternative energy sources, nothing.
- This new policy will even give tax breaks to manufacturers who produce cars that use 15% of ethanol. The problem is that nobody will know that when purchasing such a vehicle, so just about no one will fill up with that type of fuel. Moreover, just about every vehicle is admissible for this tax break...