As everyone knows, ethanol is a scam. First of all, it never makes sense to take what should be a food crop and turn it into energy. It’s a fools errand.
But that’s what government mandated ethanol does. The mandate creates a market for more than a third of all US corn production every year to be converted into fuel.
The Renewable Fuel Standard is legislation Congress passed which mandates that 37 percent of all corn produced each year be made into ethanol, blended with gasoline and ran through our engines.
While the corn growers let the $6 billion in direct taxpayer subsidies expire, the government mandate more than makes up for it.
Ethanol subsidies and mandates are great examples of cash and carry government. We don’t need ethanol. It’s not better for the environment.
Ethanol is nothing more than a government created market for corn. And the mandate ensures the price of corn will be high, with the added benefit of increasing the cost of food.
The government should subsidize things we want to be encouraging, not nonsense like ethanol.