In September of 2008, Oxford Canada, producer of the very successful Canadian Oxford Dictionary, closed its Canadian Dictionary division. Among the people put out of work as a result were a couple of very talented people I know. Apparently, the reason for closing the division is that Oxford is seeing the writing on the wall for printed dictionaries, in the face of free online alternatives. Printed reference materials are being seen as less and less relevant in today’s digital-everything culture, and Oxford sees no future in this business.
If I compare this situation to the auto industry, the only difference I see is that of scale, and the number of people directly affected. Apart from that, the auto sector is just another industry trying to hang on in the face of a changing economic, technological and environmental realities. Except this industry, mired in a crisis of its own making, is still showing its sense of exceptionalism and entitlement as it goes to the taxpayer, asking for still more money. The dictionary makers didn’t ask for a blank cheque.
There are those who say the auto industry is too large to be “allowed to fail.” Or is it too large to be held accountable, and be forced to adapt and innovate to changing conditions? 99% of all the species that have ever lived on this planet are extinct, and similarly, there are many, many businesses and occupations that have either become extinct, or transformed themselves into something almost unrecognizable in order to survive. In either case, it happened without government handouts.
Like it or not, the age of the automobile is drawing to a close. It might not happen tomorrow, but I believe it is inevitable. Whether by a growing consciousness of what the car does to the environment, or the practical reality of dwindling affordability, the car will become less and less mainstream. It began as the “rich man’s plaything” and I suspect it will end that way as well. An yet, we are being asked to finance a continued delusion that this industry can cantinue under an essentially unchanged business model.
In the Second World War, whole industries were able to retool and convert seemingly overnight into producing new and different items required for the war effort. Is it not time for the auto industry to do the same? Public transit, enhanced rail transport, green energy…. there is no shortage of potential industries where success could await. There will of course be pain and sacrifice required, but bailing out the auto industry now will only forstall (and in the long run compound and prolong) the pain and sacrifice.
If we could do it sixty or more years ago, why can’t we do it today? Instead of producing the weaponry of war, we could be producing the foundation of our future on this planet.
If we only have the courage.
Technorati Tags: Automobile, Industry, Bailout
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