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Page added on June 19, 2008

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Guns blight US energy choices

When New York City wanted to make the biggest purchase of subway cars in US history in the late 1990s, more than US$3 billion worth, the only companies that were able to bid on the contract were foreign. The same problem applies to high-speed rail today: only European or Japanese companies could build any of the proposed rail networks in the United States.


The US has also ceded the high ground to Europe and Japan in a broad range of other sustainable technologies. For instance, 11 companies produce 96% of medium to large wind turbines; only one, GE, is based in the United States, with a 16% share of the global market. The differences in market penetration come down to two factors: European and Japanese companies have become

more competent producers for these markets, and their governments have helped them to develop both this competence and the markets themselves.
America’s decline can be traced to one overriding factor: a military budget that comprises nearly half of the world’s military spending. For decades, as the late Professor Seymour Melman showed in many books (such as After Capitalism) and in numerous articles, the Pentagon has been draining not just money but also the engineering, scientific and business talent that Europe and Japan have been using for civilian production. As Melman often pointed out, the US military budget is a capital fund, and American citizens can use that fund to help finance the construction of the trains, wind and solar power, and other green technologies that will help us to avoid economic and environmental collapse.


Asia Times



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