Push Made For Cellulosic Ethanol

by Krishnadev Calamur - February 27th, 2007 - UPI (monstersandcritics.com)

WASHINGTON, DC, United States (UPI) -- Amid rising corn prices affecting the margins of livestock farmers, the Bush administration has renewed its call for cellulosic materials to eventually take the place of corn as the main source of ethanol.

'The problem is we got a lot of hog growers around the United States and a lot of them here in North Carolina who are beginning to feel the pinch as a result of high corn prices,' Bush said Thursday during a visit to Franklinton, N.C. - based enzyme firm Novozymes.

You will not see this on the main stream media (MSM). It is ironic, but whenever a Republican talks about renewable energy, the MSM takes a walk. Obviouosly they can't let anyone know that it is not just democrats that would like to see our energy prices go down. That view doesn't jibe with the socialist attitude (exmplified by the press) that everyone who supports free enterprise is an evil gouger of the public and just loves to see prices go up.

This whole push for ethanol has some potential though it doesn't alter the basic reality that energy from petroleum is still cheaper than energy from corn or trees or grass. Only government subsidies make ethanol attractive at all. For anyone who understands anything that Friedman (or any other reputable economist) has said about free choice, the actual consequence is that our nation's competitiveness is reduced and society suffers a reduced standard of living overall.

This discussion of the push for ethanol unintentionally increasing the cost of food is a truly sad condemnation of our political process. It proves again that our politicians are idiots. The push for ethanol is not a smart move but is a result of the need to reduce dependence on foreign petroleum because we have already stupidly shut down petroleum production and exploration here in America. Ethanol is simply the least stupid of the choices we are left with. The unintended consequence for food costs is just a reminder of what happens when you limit your choices to dumb choices.

The question I have is about the failure to anticipate the consequences of actions. Does anyone really think that the consequences to the paper industry of using wood products to make ethanol (paper is an industry already strugging here in America) will be benign? Just as food prices are being impacted by diverting corn into ethanol production, paper prices will be impacted by diverting wood products into ethanol.

Does anyone really think our politicians ever learn from their mistakes?