Here we go again. A situation arises that calls for government action to alleviate a major problem for the nation and the officials involved can’t pull the trigger. As expected, there are politicians who are against the action as there are repercussions that would make some of their constituents unhappy. Because of this, the country and the rest of the world have to endure the unsettling effects of the status quo.
I’m talking about the drought that has destroyed a large percentage of the nation’s corn crop and the regulation that requires corn ethanol to be blended into gasoline. Because of this ill-advised policy, corn futures and food prices have soared much higher than would have been the case given the drought, and will continue to do so. The problem was discussed recently in an OpEd article in the New York Times (http://goo.gl/daSrp). 40% of the current corn crop is slated to be turned into ethanol to be blended with gasoline, 13.2 billion gallons of corn ethanol this year. Over one third of corn production goes to feed livestock, with the balance for food and beverages, and for export. If the 40% allotted for ethanol were shifted to these other areas, the corn shortfall due to the drought would be significantly mitigated.
Ethanol production from corn was initially seen as a way to cut America’s dependence on foreign oil and fossil fuels, and that it would lower gasoline prices and increase the overall amount of gasoline available. It was also believed to be more environmental friendly than using oil to make gasoline. However, all of these claims have turned out to be fallacious, though promoted by farm and ethanol lobbyists who want to keep the ethanol mandate in effect. Corn farmers and the ethanol industry have reaped a windfall for years and are fighting hard not to surrender their legacy of government largesse.
If the EPA ended the ethanol in gasoline standard for a few years and corn production went for food and for livestock feed as in the past, the price of corn and related foodstuffs would drop. Since American grain prices and grain availability also determine world food prices, both the U.S. and the rest of the world would benefit. Fighting off pressure from farm state politicians and lobbyists, the EPA should end the ethanol mandate immediately. You can’t please all of the people all the time and the benefits far outweigh the downside.
Resurrecting Democracy
A VietNam vet and a Columbia history major who became a medical doctor, Bob Levine has watched the evolution of American politics over the past 40 years with increasing alarm. He knows he’s not alone. Partisan grid-lock, massive cash contributions and even more massive expenditures on lobbyists have undermined real democracy, and there is more than just a whiff of corruption emanating from Washington. If the nation is to overcome lockstep partisanship, restore growth to the economy and bring its debt under control, Levine argues that it will require a strong centrist third party to bring about the necessary reforms. Levine’s previous book, Shock Therapy For the American Health Care System took a realist approach to health care from a physician’s informed point of view; Resurrecting Democracy takes a similar pragmatic approach, putting aside ideology and taking a hard look at facts on the ground. In his latest book, Levine shines a light that cuts through the miasma of party propaganda and reactionary thinking, and reveals a new path for American politics. This post is cross posted from his blog.
Political junkie, Vietnam vet, neurologist- three books on aging and dementia. Book on health care reform in 2009- Shock Therapy for the American Health Care System. Book on the need for a centrist third party- Resurrecting Democracy- A Citizen’s Call for a Centrist Third Party published in 2011. Aging Wisely, published in August 2014 by Rowman and Littlefield. Latest book- The Uninformed Voter published May 2020