What happens if ethanol subsidy expires on Dec 31, 2010?

http://minnesota.publicradio.org/display/web/2010/09/17/ethanol-subsidies-renewal/

If they let it expire then ethanol price should go up by 45 cents per gallon. Since %10 of gasoline is ethanol, shouldn't we see higher gas prices?

 

?.....corn prices could collapse? :eek:

 

nothing will happen

 

in fact, sugar may go up higher because sugar is still cheap vs the corn

 

The value of the $USD will play a much greater affect. I can see the corn lobby getting nervous.

In some cases even with the subsidies its still more expensive because of the loss of MPG.

I think Corn Ethanol is mostly a scam. Unless its done like Brazil don't bother.

 

All this talk about smaller government how come republicans are not pushing to stop this taxpayer funding of private corporations profits?

This sounds like big govt spending.

 

More corporate socialism brought to by the Party of the Dumb.

 

10% of gasoline is ethanol

Once the subsidy is gone, ethonal's price will increase thereby increasing the price of gasoline