The current world food crisis makes it imperative that
Congress act on an emergency basis to repeal all existing
ethanol subsidies and production mandates. The ethanol
subsidies and production mandates enacted by the Energy
Policy Act of 2005 have substantially distorted the food
market, to the degree that since 2005 the price of corn has
tripled and related grain prices have doubled. These
dramatic results have brought about a danger of famine
and political unrest. What started out as bad economics
has grown into a humanitarian crisis.
In the face of famine we are literally burning food, while the
offsetting benefits to energy independence and reductions
in carbon emissions are somewhere between slim and
none, and much closer to none.
Throwing more money at the problem by increasing foreign
aid for food is absolutely the wrong solution. People do not
eat money, and any solution needs to be sustainable and
emphasize the supply side. We need to let the market
work efficiently in allocating food resources, without
distortion by government programs such as the ethanol
subsidies and production mandates.
Congress act on an emergency basis to repeal all existing
ethanol subsidies and production mandates. The ethanol
subsidies and production mandates enacted by the Energy
Policy Act of 2005 have substantially distorted the food
market, to the degree that since 2005 the price of corn has
tripled and related grain prices have doubled. These
dramatic results have brought about a danger of famine
and political unrest. What started out as bad economics
has grown into a humanitarian crisis.
In the face of famine we are literally burning food, while the
offsetting benefits to energy independence and reductions
in carbon emissions are somewhere between slim and
none, and much closer to none.
Throwing more money at the problem by increasing foreign
aid for food is absolutely the wrong solution. People do not
eat money, and any solution needs to be sustainable and
emphasize the supply side. We need to let the market
work efficiently in allocating food resources, without
distortion by government programs such as the ethanol
subsidies and production mandates.
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Ron St John
Republican for Congress
Republican for Congress
