The use of corn for ethanol will have even more consequence when oil prices increase. That will cause the cost of farm production to increase, which will drive up food prices. It will also drive up the cost of ethanol.
What is the elephant in the Egyptian room is the cost of energy. The cost of production and transport of food is rising because of rising oil prices. This is the cause of Egypt’s economic problem. And what bodes for Egypt will also be a danger for the United States.
As in the United States, interference by Big Government has caused Egypt’s economic troubles. What is of concern is what will replace Egypt’s dictatorship—another dictatorship? Whatever form of government, Egypt like nations around the world have the cost of energy to deal with. That problem will not be solved with Big Government that interferes with the creative ability of Capitalism to come up with answers.
Another unintended consequence is that the ethanol is ruining automobiles and gasoline pumps.