Fuel ethanol and agriculture: an economic assessment. Agricultural economic report

Technical Report · Fri Aug 01 00:00:00 EDT 1986

OSTI ID:7245557

Grinnell, G; Gavett, E

Increased fuel ethanol production through 1995 would raise net farm income, benefiting mainly corn and livestock producers. Production of additional byproduct feeds would depress the price of soybeans. Large ethanol subsidies, which are required to sustain the industry, would offset any savings in agricultural commodity programs. Increased ethanol production would also raise consumer expenditures for food. Any benefits of higher income to farmers would be more than offset by increased Government costs and consumer food expenditures. Direct cash payments to farmers would be more economical than attempting to boost farm income through ethanol subsidies.

• Research Organization: Economic Research Service, Washington, DC (USA)
• OSTI ID: 7245557
• Report Number(s): PB-86-240413/XAB; USDA/AER-562
• Country of Publication: United States
• Language: English

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