[DB]

It seems to me government has distorted the whole bio fuel issue by offering subsidies. Now capital and other resources are pouring into something that only makes economic sense because of those subsidies. That isn’t the path to economic success... It pulls those resources from other ventures that would be economically positive. So this is burning resources unproductively costing us all.

[P-40]

Were it not for those subsidies, there never would have been a market. The subsidies have attracted a lot of capital to the market and now the market is beginning to drive the process. The subsidies, or more properly tax credits, can be phased out over time or left in place to reflect that the production is from a domestic source.

[neverdem]

It seems to me government has distorted the whole bio fuel issue by offering subsidies. Now capital and other resources are pouring into something that only makes economic sense because of those subsidies. That isn’t the path to economic success... It pulls those resources from other ventures that would be economically positive. So this is burning resources unproductively costing us all.

You'll get no argument from me. Subsidized, corn derived ethanol doesn't appear to make economic sense. That nonsense needs to be stopped as soon as possible. I would only have subsidies for other methods until they also are proven to make no economic sense.

IMHO, with our fiat currency and current account deficit, we need energy independence as a national strategy, or we debase our currency and fund our adversaries.