Monday, January 23, 2012

Subsidies gone!!!

The U.S. Congress has repealed the subsidies for ethanol production along with the tariffs on ethanol which have kept Brazilian ethanol out of the U.S. market. Brazil makes ethanol from sugar cane instead of corn (maize) and does it much more cheaply that we do in the U.S. A big industry has developed in the U.S. based on these subsidies and tariffs, so this will have a major impact. It is not often that one can write about the repeal of a tariff or subsidy--note the day for you grandchildren!

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