From the Beginning: Top Ten Presidential Influences on the Automotive Industry

[xcel]

This is a great read!

Wayne Gerdes - CleanMPG - Sept 1, 2012

President Dwight D. Eisenhower served as Commander In Chief from January 20, 1953 – January 20, 1961. He is credited as the "Father of the Interstate System" and was convinced the highway network would change the face of America. Little did we know how much it would!

While the debate continues over who should be the US’ next president, a large classic car insurance concern revealed a number of key areas in which U.S. Presidents have asserted their power making the automobile industry one of the largest and most significant in our short 223 years of Presidential leadership.

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The Top 10 According to Hagerty

1. Automotive Industry Crisis (2008 - 2009) – George W. Bush and Barack Obama
   
   Initially started by President Bush as auto sales collapsed as the Wall Street Banking Crisis continued throughout 2008, President Obama ordered a huge financial bailout ($80 billion) which allowed Chrysler and GM to survive bankruptcy in 2009. While contentious, the automakers are currently turning profits, and time will ultimately tell if the bailout leads to long-term prosperity.
   
   
2. Chrysler Bailout (1979) – Jimmy Carter
   
   In 1979, Chrysler was struggling to pay expenses and was on the verge of bankruptcy. In response, President Carter agreed to order federal loan guarantees providing Chrysler $1.5 billion to cover manufacturing costs. Without those guarantees, Chrysler's bankruptcy may have resulted in a depression as the U.S. economy was experiencing a significant downturn at the time.
   
   
3. Corporate Average Fuel Economy (1975) – Gerald Ford
   
   In 1975, President Ford signed the Energy Policy and Conservation Act which contained the C.A.F.E. provision requiring automakers to increase overall fuel efficiency. As a result, the Big Three made changes, including offering smaller cars for sale in the U.S. during the 1980s.
   
   
4. Emergency Highway Energy Conservation Act (1974) – Richard Nixon
   
   In 1974, President Nixon signed this act, which included the National Maximum Speed Law limiting drivers to 55 MPH on U.S. roadways. The intent of the law was to help lower gasoline consumption due to the OPEC oil embargo which lasted from October 1973 to March 1974. The law was lifted in 1995 when the power to set speed limits returned to individual states.
   
   
5. Creation of the Environmental Protection Agency (1970) – Richard Nixon
   
   In December of 1970, President Nixon and Congress established the EPA. It was created to research, set standards and enforces policy to ensure environmental protection. The organization continues to work for a cleaner and healthier environment for U.S. residents, which primarily includes setting vehicle emissions standards.
   
   
6. Highway Safety Act and National Traffic/Motor Vehicle Safety Act (1966) – Lyndon Johnson
   
   In response to growing fatalities and injuries involving vehicles, these federal acts produced the first safety standards for motor vehicles and roadways. Vehicle safety requirements included seat belts, headrests, impact-absorbing steering wheels, shatter-resistant windshields and road safety measures such as enhanced guardrails, break-away signs and greater illumination of roadways.
   
   
7. Department of Transportation (1966) – Lyndon Johnson
   
   Signed into law by President Johnson on October 15, 1966, the Department of Transportation (DOT) was developed to coordinate transportation policies and systems throughout the U.S. The DOT is responsible for the quality, proficiency and safety of all U.S. transportation systems including highways, railroads, waterways/ports and mass transit, among others.
   
   
8. Interstate Highway System (1956) – Dwight Eisenhower
   
   With national security in mind, President Eisenhower signed the Federal-Aid Highway Act on June 29, 1956. This act provided funding for the development and construction of the 41,000-mile Interstate Highway System and is commonly referred to as the "Greatest Public Works Project in History."
   
   
9. Federal Aid Road Act (1916) – Woodrow Wilson
   
   Due in part to lobbying interest groups representing farmers and urban motorists, on July 11, 1916, President Wilson signed the Federal Aid Road Act, which officially became the first federal highway-funding legislation in the history of the United States. At the time, U.S. roadways were in poor condition, and the roughly $75 million in aid drastically improved their quality.
   
   
10. National Road - Cumberland Road (1784 - 1806) – George Washington and Thomas Jefferson
    
    Originally conceived by President-to-be George Washington in 1784 and approved in 1806 during Thomas Jefferson's administration, the National Road was the largest U.S. road project ever at the time. Construction began in 1811, was completed in 1834 and became the first major U.S. road to utilize macadam-style road construction – raised layers of stones bound together with a cementing agent which became a major upgrade over the soil-based roadways popularly used at the time.

McKeel Hagerty, CEO of Hagerty:

"The President of the United States can impact the automotive world as much as a Henry Ford or William Durant. While some of the policies and legislation listed above remain controversial, their influence is undeniable."

I think we can all appreciate the magnitude of each and every one of the above “Presidential backed projects” as they not only changed the US landscape but also the worlds. Where we go, meaning the automobile industry, the United States and its citizens in the future is unsure but with a little vision and risk comes reward. Some of the above occurred when a President stuck his neck out with the end results making for a better country with one of if not the highest standard of living in the world.

[herm]

Did the 55mph speed limit actually lower national fuel consumption?.. how fast did people drive before the law passed?

[MaxxMPG]

The 55mph limit did lower national fuel consumption, and also caused a decrease in highway deaths. I am old enough to remember the "60" and "65" signs before they were changed to "55" in 1974. I also know that the 55 was largely ignored back then as it is today, although it did slow people down from 75 to 65. In the 1970s, before widespread adoption of overdrive and greater attention to aerodynamics, the lower speed limit had a far greater opportunity to lower fuel consumption than it does today.

Imagine in 1974, blasting down the highway in a 1968 Chevy Impala - a typical "family car" of the era. Its 5.3 liter V8 would be spinning at about 2500rpm because it has a short 3.2:1 rear axle necessary to get the land barge moving with a two speed automatic (first gear 1.76:1, second gear 1:1). At speeds under 60mph, flooring the pedal would return the car to "low range" for better passing performance. At the time, you'd be lucky to get 14mpg at highway speeds. Today, a 1.6 liter GDI engine has more net horsepower, the transmission has three times as many forward ratios, and the engine spins about 2/3 as fast at 60mph. Aerodynamic drag is a fraction of what it was 45 years ago. And it is common to see a B-class or C-class car approach 50mpg at reasonable highway speeds.

The 55mph limit would have had more of an impact if it had been fully enforced. Since that era, automotive technology has improved to the point where a steady 55mph offers some amazing mpg numbers, and those numbers don't start falling off the cliff until speed climbs past 65.

[EdwinTheMagnificent]

One thing that the 55MPH era taught me is that speed limit laws are not really enforced ( except very randomly) and that it's "okay" to ignore them. 55 MPH was just a "suggestion", right ? That's what I observed.

[RedylC94]

I'm old enough to remember, too, and I partially agree with MaxxMPG. However ...

Speed limits on Interstates were 75 mph in some states before the 55-mph era.

At first, 55 was enforced more strictly in some states (notably Ohio) than 70 and 75 had been. My mother got caught speeding at 61 mph on I-40 in rural western Tennessee. Then as people forgot about the shortages of the 70s and fuel prices receded, the limit was increasingly ignored and unenforced by the mid-80s.

I had a friend who claimed to consistently manage 20 mpg in a '63 Impala with the 283 and Powerglide (2-speed automatic) at 60 mph. Even the 327 (which I assume your 5.3 liter implied) could do well over 14, sensibly driven.

Axle ratios well under 3.2 were common with American V8s of the mid-60s. Some big Pontiacs used a 2.29 and also could easily get in the upper teens cruising at 60 mph or so, even with a 389 and automatic. Much, much less in stop-n-go, of course!