Luttwak again

From Edward Luttwak’s recent articleWhy the Trump Dynasty will last 16 years” on the root causes of Trump’s win, in case you missed it:

……..That gathering of lean and hungry Clint­onians is the world mercilessly exposed in Shattered: Inside Hillary Clinton’s doomed campaign by Jonathan Allen and Amie Parnes. Meticulously researched and strenuously un­biased, it is the most useful book published so far on the 2016 Presidential election as a whole, as well as the Clinton campaign specifically. It certainly convinced me that Clinton did not understand in what country she was running for election: not one populated by black women (they dominated her convention), environmental activists, patriotic Muslims, vegans, committed free-traders and social engineers, but chiefly a country of car owners and bitterly frustrated would-be new car owners, a far better categorization than Clinton’s own “deplorables”.

That is why the car affordability numbers revealed in June 2016 were so vastly significant in determining the outcome of the elections. Going by metropolitan areas, they extracted maximum affordable car prices from median incomes. The latter ranged from the stellar $87,210 of San Jose in the opulence of California’s Silicon Valley, all the way down to the $24,701 of deindustrialized Cleveland, Ohio, numbers that in turn yielded maximum affordable price limits of $32,855 in San Jose, and $7,558 in Cleveland – not actually the lowest number, which was Detroit’s $6,174, owing to high average insurance costs in that crime-afflicted city (at $1,131.40 per annum, as compared to Cleveland’s $659.47).

What made these seemingly obscure numbers nothing less than momentous was that the cheapest new car on sale in the United States in 2016 was the Nissan Versa sedan at $12,825, twice the level that average households could afford in Detroit or Cleveland, and more than average households could afford in cities ranging from Philadelphia, Orlando, Milwaukee, Memphis, Providence, New Orleans, Miami and Buffalo, as well as, a fortiori, in a very great number of smaller localities across the United States, even in high-income states such as California and Oregon, as well much more commonly in the lower-income Southern and rust-belt states.

The mass exclusion of Americans from new car ownership is the result of two converging phenomena, only one of which was recognized by Hillary Clinton, though scarcely emphasized in her identity-focused campaign: wage stag­nation. Sanders and Trump did not hesitate to blame that relative impoverishment on the exposure of the least agile of Americans to international competition, with the resulting de-industrialization that translated millions of Americans from $20-to-40-an-hour factory jobs to miserably paid service jobs. Beholden to the sanctity of free trade, the Clinton crowd even more than the candidate herself blamed the lethargy of the TV-watching, beer-drinking, gun-owning, church-going, and cigarette-smoking “deplorables”, who unaccountably failed to avail themselves of the wonderful opportunity to leave boring assembly-line jobs or downright dangerous coal-face or oil drilling jobs to become fashion designers, foreign-exchange traders, software engineers, or even political campaign operatives.