You are assuming the economics for corn-based ethanol resemble a free market. They do not.
Government regulation, both state and federal, ensure that fuel distributors have to buy a certain amount of ethanol. Lower fuel prices means more demand for gasoline. Higher gasoline sales means more demand for ethanol to blend with gas.
That is not to say low oil prices won't hurt grain prices. There are a lot of countries that buy US grain with their oil dollars. If they can't produce oil profitably, they can't buy our grain.
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Today's Featured Article - Restoration Story: Fordson Major - by Anthony West. George bought his Fordson Major from a an implement sale about 18 years ago for �200.00 (UK). There is no known history regarding its origins or what service it had done, but the following work was undertaken alone to bring it up to show standard. From the engine number, it was found that this Major was produced late 1946. It was almost complete but had various parts that would definitely need replacing.
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