Sunday, June 15, 2008
Ethanol, Dollars, and Sense
The ethanol debate continues. What's caused food prices to increase so dramatically in the last six months, federally subsidized ethanol production or the devaluation of the dollar? The feds certainly miscalculated with their promotion of increased ethanol production and passage of bills that require 36 billion gallons of fuel from renewable sources in the next 14 years. Essentially, we're locked in to a contract that we won't be able to pay with corn. That means we either need to find other renewable sources or food prices will continue to rise. Add in the tomato shortage, rising gas and diesel prices, and rising credit card interest rates, and families are looking at a harsh winter this year and likely next as well. The feds have tied our hands. They've dined on our hard work, and in this election year they're preparing to dash.
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