Tuesday, April 5, 2016

More About Cars and Economy


The marketization of automobiles can be used to construct social structure and determine distribution of wealth. Car production is heavily influenced by the intended customer since a producer needs to develop a product that is appealing and compelling to particular audience. A producer will not spend his resources creating a car for someone that cannot afford it regardless. Thus explains the existence of Coach-builders. During the Gilded Age in American History, 1870-1900, automobiles were marketed to the upper class. Car were not sold in the manner they are in current time. It consisted of a two step process: first the buyer selected an automobile manufacturer to provide only the rolling chassis, comprising: chassis, drivetrain. Then the customer would approach a coach-builder, requesting a personal body design to be fitted on the new chassis. Initially, the long-established and refined skills and tools. This process, being very expensive and inefficient, made it impossible to be sold to middle and lower class. Surprisingly, during the same time frame, the top 1% controlled more than 20% of total income in America. Juxtaposing the mode of car production being solely for the wealthy and the fact that the 1% controlled most of the income available in the US in that time frame, it is evident that marketization of automobiles relates to the inequality of wealth in given society.   

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