Explosive Ethanol Growth (AKA - Not particularly a good idea?)
Explosive ethanol growth is enough evidence to suggest ’07
car deliveries will reach 62,000
So here we go. I have some predictions based on this trend.
- Subsidies will be maintained at about the 50% level for a while to keep the cost per gallon artificially low. This will continue the surge of growth & demand. When the subsidies get out of control with the larger impending market, the Feds & other entities providing subsidies will have to bump in more taxes upon the civil populace OR they'll have to let the market pay for itself.
- Mexican illegal immigration will increase, prospectively because of further food cost increases, and regular reasons. We'll become more hot-tempered with border issues as there become an increased pace of tension between border populations based on this increased push for Ethanol and the respective large purchases from Mexico.
- Freight car sales (per the article) will increases and the shipping costs might decrease (probably based on inflation and not an actual number price decrease), but transport of ethanol will continue to be a huge part of the cost in comparison to traditional fuel transport costs.
- Ethanol will not have a large enough effect overall on the economy or fuel needs of the United States to provide the mythic energy independance we're being told about by a particular administration.
The end result will be, we'll have increased the cost of fuel for society and caused an increasingly problematic food shortage for the people that are already just skimming above the surface of poverty, personally I don't care because fuel is far too cheap for autos anyway but jacking the prices on foodstuff by indirect influence is really a spineless thing to do. The net cost to individuals and the Federal & State Governments to maintain auto usage and infrastructure with these types of fuel policies will only decrease our transportation stability and increase the possible backlash of our auto dependence.