The car business is pretty good right now. After bottoming out during the financial crisis, sales have been climbing steadily. But all good things must end and the auto industry is brutally cyclical. What's worse, the down side of this cycle could be incredibly steep. Automakers are expanding production to take advantage of the strong demand. They could be left with vast over-capacity as demographic shifts away from the car culture -- and perhaps rising interests rates -- result in far fewer buyers. One leading executive believes only big companies will be able to compete in the global car market. Could we see a merger between Ford and Honda? How about Fiat and Volkswagen?

More from Car Insurance

Does Your Insurance Cover Dog Bites, Flooding or Your Dashboard Change?

Does Your Insurance Cover Dog Bites, Flooding or Your Dashboard Change?

Video: 4 Stunning Cars You Don't Want to Miss at the New York Auto Show

Video: 4 Stunning Cars You Don't Want to Miss at the New York Auto Show

How to Get Out of Your Car Lease Without Going Broke

How to Get Out of Your Car Lease Without Going Broke

Telematics Could Cut Your Car Insurance, but There Are Privacy Risks

Telematics Could Cut Your Car Insurance, but There Are Privacy Risks

5 Tesla Products Elon Musk Has Announced Since He Started Taking Model 3 Orders

5 Tesla Products Elon Musk Has Announced Since He Started Taking Model 3 Orders