Ethanol is an economic boondoggle. Consider this, for every one unit of ethanol produced, six units of energy are consumed. http://www.sciencedaily.com/releases/2005/03/050329132436.htm
"...legislation which required 40 percent of the U.S. corn harvest to be slated for ethanol production, and for massive subsidies to make corn economically viable."
SHAME on the GOP for nominating people like GWB to be their POTUS nominee, & the so-called "conservative" voters that voted for him TWICE!
Ethanol is a boodoggle for the green-eared monster in then White House. Soros flunky surrounded by a pack of communist hyenas who blame our problems on the system that supports them. They don't have a replacement for gasoline that is effective and economical. Coal doesn't cause asthma. These people breaking our backs and it isn't because they're stupid - it's intentional!
Whether or not Ethanol has any impact on the price, the fact remain that all food commodities are spiking, which will naturally lead to increase in prices, combined with increase in fuel costs, and you will see a massive dip in the economy,
As to if the current price is fair or if it should be a $3, the price is what the market will allow, if people can afford $7 corn (which they cant) then the market would stay there, but what will happen is people will eat less, creating a surplus and crashing the price, which will be worse for the farmers.
Personally Ethanol is the WORST thing for farmers, I see nothing but pain in the future for any farm that tied their lively hood to the scam that is Ethanol
PS. I have live in Indiana all my life, That is all we have here is corn.......
If you look at the Charts Corn Spike this high in 2008 when the Last Collapse Happened
Prepare if you can, because all indicators are that The rest of this year and all of next year at minimum is going to be a rocky ride.....
"Ethanol use of U.S. corn were relatively small until the turn of the century. From 2000/01
forward, ethanol use of U.S. corn has grown successively larger on an annual basis. During the
last three marketing years ethanol use of corn as a percent of total use has increased from 24% to 31% to 32%. Non-ethanol demand for corn for food, seed and industrial use continues to be steadily increasing over time, accounting for a projected 10% of U.S. corn use in the 2009/10
That report is from 2009.
With a now projected lower yield for 2011, and demand for ethanol production still rising, we may see 40% used for ethanol.
Ethanol does because ethanol for use in fuel has taken up 40% of corn produced in the United States. Trying to say ethanol has no affect on anything else using corn in the US is idiotic. Anything that uses a product of corn in it, has gone way up in price. Partially because of the weaker dollar and because of how much corn ethanol for fuel is using.
I think I recall a man stating something about"and we will be burning our food",
You think it's unsafe to go to McDonald's now,
just wait till you only get 2 chicken nuggets for $5.00.
And Guantanamo Bay will be closed, the deficit will be cut in half during my first term, you can keep your doctor and Insurance if you want to, Our oil production is higher than ever, The borders are more secure than ever, and Arizona is my favorite State (to sue).