This AP article goes into detail of how President Obama’s new mileage and emission standards will affect the automobile landscape. In the name of protecting the environment and the public good, govenment continues to step up its costly regulation of private industry — especially the automakers (part of the reason they’ve needed bailouts).
One of the more interesting predictions from the article is that “… the changes will make pickup trucks so much more expensive that they will be used almost exclusively for work.” Sorry to those of you who like your pickup. The government has decided that they are wiser than automakers and their customers when it comes to deciding what types of vehicles should be manufactured and bought.
This type of regulation has been partly responsible for hindering the ability of the automakers to stay afloat without government bailouts. Ayn Rand once noted this dilemma when she noted that, “One of the methods used by statists to destroy capitalism consists in establishing controls that tie a given industry hand and foot, making it unable to solve its problems, then declaring that freedom has failed and stronger controls are necessary.” The only way to “save” industries which are heavily regulated by government is to invest bailout money in them, allowing government to exert more control over them. After all, they’re “too big to fail.”