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Posts Tagged ‘stimulus

The future of Car Industry

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Mr. Marchionne, the CEO of Fiat stated, a few months ago, that in Europe there is place only for one automobile manufacturer, while, on the rest of the world there will be only two or three more. This means that the battle will be very hard. We cannot understend the immininent agreement between Chrisler and Fiat without the idea of a car market dominated by a small number of great actors.

Fiat 500 in USA?

The demand of small and eco-compatible cars, in USA, seems to be very strong, on this side of the Atlantic and this seems to be a good deal for the European car industry. One of the main issue is that a lot of manufacturers do not have a distribution network on the US. The eldorado for small cars constructors need to be conquered quickly, but the most of European brands has not dealers in North America and, now that car factories are sold, in USA, such as we were on a sale off, FIAT got his chance. Perhaps, it’s since 2005 that Marchionne’s guys are trying to come back to North America. One of the first ideas circulating in some environment was that FIAT could use the Ferrari dealers network, but it was not so developed as the Chrisler’s one. So, considering all this variable, you might soon find a small and sexy FIAT 500 on Main Street.

Is it Only a Commercial Agreement?

I, actually, do not know. One of the very immediate ideas coming into my mind is that FIAT has desperate need of fresh money. An agreement with a US manufacturer can give the Turin factory the chance to put their hands on the money Team Obama is spending to save the stars&stripes car industry. Otherwise it is very difficult to understand what sense does this decision make. Under the industrial point of view, it makes not sense: it is a common place, for example, that US plants are not tecnologically very developed. So, why should FIAT buy Chrysler?

Fiat Rulez, Maybe

I do not know if FIAT will survive the crisis. The problem is how well the Chrylser operation will work. I do not know. Witch model will Chrysler build? Renamed FIAT ones? who knows. What is important is that the operation will work for everyone.


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Written by Francesco Piccinelli Casagrande

04/18/2009 at 12:56 pm

Posted in Politics

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Barack Obama, the Powerless

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The United States stimulus package depend on China’s economy: where will the money promised by Barack Obama come from? From the other side of the Pacific Ocean and, this is the funny thing, from a Communist power.

This is a crisis, isn’t it? And someone is saying that it’s similar to the Great depression of 1929.  I’m not sure whether we are in depression, but I’m very scared by the particular of the US debt bought by Chines money-savers: what happen if the US cannot pay back the bonds they’ve issued?  

The answer is World War III. Barack Obama is a great and wise man, but the game he’s running is very dangerous: China’s economy will keep growing for a while. But what will happen if it stops? The answer is the same. This means that the real center of world power is not in Washington DC but in Beijing, China.

This passage is similar to those happened between the two World Wars across the Atlantic Ocean: at those time, it was up to Europe to pass the hand. Now, believe it or not, nobody can save the world better than Mr. Jiabao, the President of PRC with a huge number of political consequences for our democracies: how can we manage the problem – as an example – of Tibet with a China holding us by our bollocks?

Today’s meeting of G-7 is useless such as the Society of the Nation was useless  between the two World wars. The same is for the next April 2nd G-20: our only hope is Chinese economy. If the guys in Beijing will be smart enough to save their own economy, President Obama’s Stimulus Plan will be somehow useful. Otherwise, start preying your God.

Written by Francesco Piccinelli Casagrande

02/15/2009 at 8:24 pm

The big crisis: why Italy cannot get it.

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The crisis that is hitting the US and worldwide economy will be even harder to be faced in Italy where the Economy is not growing since Sept. 11.

It’s not easy to understand why, anyway, we can try to point out one or two ideas:

1st idea:

Both the major parties are strong in the North and in the south, according to the Italian Interior Minister. Italy is ever since devided in two and the difference between the Mezzogiorno and the rest of Italy is very sensible. I’ve never been there. But it’s enough to cross the border between Tuscany and Lazio to see what I am talking about. This makes impossible for the parties struggling for Palazzo Chigi to write down credible programs and, as a consequence, it makes impossible to take any kind of strategic decision: how might a southern Italy elector take a packager of stumulus to the northern enterprise that can steal money from his unemployment check?

2nd idea:

The second thing coming into my mind is that the status quo is a comfortable way to keep the weak strong powers of Italy (Masonry, Church, Mafia, Bank System,  Italian Industrial Associacion, Unions etc.) at their place of leadership in ruling Italian affairs. The problem is that while in the country money is missing more and more, this is making the Italian informal lobbies even weaker. Italy is like an aquarium with a hole: water is  flowing out and the big dogfishs are swimming in less and less water while they’re eating their very last prey. Waite for a while and you’ll see them die, probably with the last lunch still in their stomach.

What do the two ideas have in common?

They point out the athavic problem of the Italian ruling classes over the last 160 years: LUNGIMIRANCE. Our political class never thought beyond the next election. Lungimirance means braveness to face both the challenge to rule a country made by two different ones and to fight against the thiny strong powers  that want non change to be made.

Written by Francesco Piccinelli Casagrande

02/13/2009 at 6:26 pm