Yesterday , I did a simple tough calculation about Common Motors to attempt to get at how a lot manufacturing job loss one might attribute to international competition versus automation and productivity will increase. Various commenters objected that my assumptions had been too simplistic, particularly in neglecting the home content in international autos and the importance of shifts within the supply chain over time.
Complicating your train much more is the fact that individuals are inclined to preserve their cars longer nowadays than they used to. This is largely as a result of quality has gone up, reducing the frequency wanted to buy a new automotive. I suspect this has far more to do with the declining share of GDP dedicated to auto purchases than any of the other elements you talked about.
The electric-automotive maker is the newest firm to turn out to be a market darling primarily based not on what it has achieved however on a imaginative and prescient of a dominant future. I actually need to thank everyone in the Gainesville office for such a straightforward experience and going above and past to make our vehicle buy happen. Donald Trump, talking to auto executives and staff in a former meeting plant near Detroit, halted a transfer by Barack Obama to tighten gasoline-economic system standards.
The odd-trying line in this graph is the one for home consumption of autos and components as a fraction of GDP; the road begins to drop after 2002, solely reversing in 2010. It's odd to me as a result of a graph of US vehicle sales is essentially flat from 2001 to 2007 at between sixteen and 17 million autos per year. Reading off Stuart's graph above, the gross consumption line begins at about 3.7% of GDP in 2001 and drops to round 2.eight% in 2007, so roughly a 25% drop. Taking a look at BEA Table 1.1.5. US GDP rose 36% during that interval.
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