Among the factors most responsible for this tragic loss of our prairie heritage is the federal renewable fuel standard, a congressional mandate requiring refiners to mix renewable fuel (mostly corn-based ethanol) with U.S. gasoline, diesel, jet fuel and heating oil products.
The renewable fuel standard has generated a huge surge in ethanol production, increasing from 9 billion gallons in 2009 to 15.9 billion gallons per year today, according to the Energy Information Administration. By 2022 the total is projected to reach 36 billion gallons.
|William F. Shughart II is Research Director and Senior Fellow at the Independent Institute, J. Fish Smith Professor in Public Choice in the Jon M. Huntsman School of Business at Utah State University, and editor of the Independent Institute book, Taxing Choice: The Predatory Politics of Fiscal Discrimination.|
TAXING CHOICE: The Predatory Politics of Fiscal Discrimination
So-called sin taxesthe taxing of certain products, like alcohol and tobacco, that are deemed to be politically incorrecthave long been a favorite way for politicians to fund programs benefiting special interest groups. But this concept has been applied to such sinful products as soft drinks, margarine, telephone calls, airline tickets, and even fishing gear. What is the true record of this selective, often punitive, approach to taxation?