Replies

I hate the myth that ethanol raises food costs. The surplus corn used for ethanol wasn’t going to anyones table anyhow. And the distillers grains are fed to livestock anyhow so very little food value is lost.

For all the reasons to badmouth ethnol, the food to fuel arguement is the lamest. Blame the high cost of diesel fuel instead. Blame congress. Don’t blame the farmers. They are just trying to survive within the means government regulations allow them.

There is plenty of evidence to suggest that ethanol production impacts food prices. It is not a myth. Both sides of this issue have made arguments for their side. I am persuaded that ethanol production can have a substantial impact on food prices depending on the economic situation. I agree that there are other reasons to oppose the biofuel subsidies and mandates that are at least as compelling.

Farm states (including farmers) have pushed very hard for ethanol mandates and subsidies. Iowa voted for Obama largely on his support of ethanol mandates and subsidies. The corn farming states obtained enormous leverage when Republicans had control of the Senate. Republican control of the Senate was conditioned on placating the farm states with bloated farm bills. Farm bill subsidies increased substantially starting in 2002. It has been downhill since them with enormous ethanol and biofuel subsidies. Support for these subsidies and mandates was one of the biggest mistakes of Bush's presidency.

I agree that the entire farm subsidy program is badly broken. I only expect the subsidy program to become even worse with the rats in power. Republicans need to attack these subsidies and mandates. It is a good opportunity to turn the table on the farm state lobbying and bad energy and food policy.

I don't believe it is a myth. We need to understand that entire kernels of an ear of corn, per se, are required to produce the government-edicted ethanol.

Many researchers have found that the production of ethanol consumes more energy than it yields. Michael Grunwald, a qualified science journalist, has reported that one person could be fed 365 days "on the corn needed to fill an ethanol-fueled SUV" He further reports that though "hyped as an eco-friendly fuel, ethanol increases global warming, destroys forests and inflates food prices."

Recent articles blame subsidized ethanol production for the nearly 200% increase in milk prices since, since the price of fuel has driven up the costs to cultivate, grow, harvest, ship, refine, bring to market, etc, all commodities including, but not limited to, milk.

Articles also blame the presence of speculators, and the recent growing interest in the commodities market by investors who have been scared away from a falling stock market.

Ethanol production uses the starch portion of corn.