Posted by wisbaker on November 30, 2011 at 18:46:36 from (174.124.146.216):
In Reply to: Ethanol information? posted by AllisG on November 30, 2011 at 15:44:45:
Something else to consider energy is an input to Agriculture, we use gas or diesel fuel to power the tractors and combines to plant and harvest, natural gas or LP gas to dry, diesel to transport to market, more diesel for the train or barge to get it where it"ll be processed. Nitrogen fertilizer was made from natural gas when I was in school, don"t know if it still is. Electricity and gas and diesel,coal or fuel oil in processing the food. Then a mix of fossil fuels and electricity to store preserve transport and sell the food. IF THE PRICE OF ENERGY GOES UP THE PRICE OF FOOD WILL FOLLOW. If we allow food to be turned into energy (ethanol) that to will drive the price of food up. A RESOURCE WILL GRAVITATE TO ITS" HIGHEST AND BEST USE. Meaning if the price of energy goes up at a different rate than food and food can be turned into energy food stuffs will gravitate to energy IF THEY ARE WORTH MORE AS ENERGY THAN FOOD. An if your government takes your tax dollar to subsidize this exchange even more will go to energy and less to food, driving food prices up. Application of basic economic concepts will answer your question unfortunately the current regime in Washington gets nervous when people start understanding fundamental economic concepts.
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