Sunday, May 18, 2014

Evanescence of Cars

Evanescence of Cars .


Andre Willers .
18 May 2014
Synopsis:
More cars are being produced than sold . Over the last 9 years about 25 million more . Where are they ? Who pays ?
 
Discussion :
0 . Humans are not only abandoning their cities before occupation (see http://andreswhy.blogspot.com/2014/05/evanescence-of-cities-iii.html )
But they are abandoning their mobile dwellings (cars) before being able to own then . Not by choice though . Living in your car (ie a nomad) is nearly bottom of the list of choices for a city dweller .

Essentially , the capitalist owners are telling more than 90 % of the population that they have no fixed abode , or even a nomadic abode .
And these guys  expect to survive this ? They should go and see what happened in previous instances .
Gotterdammerung .
 
As discussed in Evanescence of Cities , the owners should just sell the cars at $1 .
They will recoup capital expenses in spares and services . Also intact throats .
This is a very dangerous game they are playing by denying any home , city or nomadic to the majority of the population in a high-tech environment .
Just look at history .
 
“Grasping all , they lose all”
  
 
1.This question was raised in ZeroHedge , where somebody had noticed enormous stockpiles of new cars . See appendix A
 
2.The only way to be sure is to look at production vs sales .
Then we notice a steady build up of about 2.77 million vehicles per year for the last 9 years .
3.The production figures were easy to get , but the sales figures were made deliberately hard to obtain .
 
4.The figures :
5. Summary of the global figures
(to the nearest million)
Year  Prod  Sales  Diff
 
2005  66     64       2 
2006  69     66       3
2007  73     70       3
2008  70     66       4
2009  62     64       -2
2010  78     73       5
2011  80     77       3
2012  84     81       3
2013  88     84       4
Total of unsold cars over last 9 years = 25 million . (about 2.77 million a year)
Note that the only year they sold more than produced was with the inventory demand after the 2008 crash .
 
6. Parking needed :
A car needs 2.4 x 4.8 square meters parking , excluding access .
For 25 million cars you will need at least 2.4 x 4.8 x 25x10^6 ~ 288 million square meters .
This is 288 square km , or 111 square miles .
Access roads are needed .
 
7. A nice little optimization problem :
What is best way to park 25 million vehicles using least access resources (hint : you are not restricted to 2 dimensions)
 
8. So what happens now ?
See what happened to conglomerates in the 1960-1970’s . They were eaten alive by inventory build-up , then by corporate raiders .
See “The Goal” by Goldratt .  (http://en.wikipedia.org/wiki/The_Goal_(novel))
 
9.Enormous opportunity :
These bloated motor companies , bailed out by the public purse , are sitting on enormous assets of parked cars and vehicles .
 
Buy the whole Company for cents on the dollar , then flog off the hardware at a suitable discount (at least 90%)  and still make a profit .
And be a social hero , preventing a real revolution . (You know , the one with real blood and tumbling heads) .

Vroom ! Vroom !
 
Andre
 
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Appendix A

THE WORLDS UNSOLD CAR STOCKPILE
Houston...We have a problem!...Nobody is buying brand new cars anymore!  Well they are, but not on the scale they once were.  Millions of brand new unsold cars are just sitting redundant on runways and car parks around the world.  There, they stay, slowly deteriorating without being maintained.
Below is an image of a massive car park at Swindon, United Kingdom, with thousands upon thousands of unsold cars just sitting there with not a buyer in sight. The car manufacturers have to buy more and more land just to park their cars as they perpetually roll off the production line.

There is proof that the worlds recession is still biting and wont let go.  All around the world there are huge stockpiles of unsold cars and they are being added to every day.  They have run out of space to park all of these brand new unsold cars and are having to buy acres and acres of land to store them.
NOTE:
The images on this webpage showing all of these unsold cars are just a very small portion of those around the world.  There are literally thousands of these "car parks" rammed full of unsold cars in practically every country on the planet.  Just in case you were wondering, these images have not been Photoshopped, they are the real deal!

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