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Supply and Demand

From Wikipedia, "Currently the main feedstock in the United States for the production of ethanol is corn (see the Renewable Fuels Association's list of U.S. ethanol for a complete list and feedstock utilized. Approximately 2.8 gallons of ethanol are produced from one bushel of corn."

So as the demand for corn goes up, the price goes up... The law of supply and demand.

2007-01-11 03:36:53 · answer #1 · answered by lots_of_laughs 6 · 0 0

As demand for ethanol rises, the cost for corn tortillas will also rise (at least in macro economic theory.)

This is because both products, ethanol and corn tortillas, are derived from the same thing, corn.

Ethanol is expensive to produce, but less expensive than normal gasoline (at least last summer's prices)...corn suppliers who normally sell corn to the tortilla producers will begin to sell corn to the ethanol producers (more demand = less supply = higher prices)

2007-01-11 03:36:08 · answer #2 · answered by Gotta Question 2 · 0 0

Simply, the more corn that is used for Ethanol, the less corn that's available for corn tortillas. Lower supply = Higher demand = Higher price

2007-01-11 03:38:45 · answer #3 · answered by my brain hurts 5 · 0 0

Ethanol
[Production / Prospective technologies] Realization of this technology would turn a number of cellulose-containing agricultural byproducts, such as corncobs
Maize
[Uses for maize / Diseases] mealie pap in Africa. It is the main ingredient for tortilla and many other dishes of Mexican food
Tortilla

2007-01-11 03:37:33 · answer #4 · answered by Anonymous · 0 0

ethanol is corn...corn tortillas...oh yeah. go corn...

2007-01-11 03:34:50 · answer #5 · answered by ughhh 3 · 1 0

They are both made from corn

2007-01-11 03:33:02 · answer #6 · answered by October 7 · 1 0

the corn connection

2007-01-11 03:36:22 · answer #7 · answered by Chuck U Farley 2 · 2 0

Possibly because it costs more for shipping or trucking them to your store?

2007-01-11 03:33:57 · answer #8 · answered by mom of 2 6 · 0 0

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