James Watt did not invent the steam engine but redesigned the early steam engine radically improving the power, efficiency and cost effectiveness. He also adapted his engine to produce rotary motion.
The first car manufacturers in the world were French: Panhard & Levassor (1889) and Peugeot (1891). Rene Panhard and Emile Levassor were partners in a woodworking machinery business, when they decided to become car manufacturers. They built their first car in 1890 using a Daimler engine. Amer...
Answer Steam engines would have water heated in large tanks and then the steam that was created was harnessed and used to power the engine. I believe this is what this means by "consuming their own smoke." Hope this helps.
With the Rockwell "Turbo Encabulator".
The answer, is what we do today. We can try to keep the old, or try to make the new.