Is it just to protect the domestic ethanol industry against, say, brazilian ethanol (which is cheaper)? Isn't this basically just a stealth fuel tax given President Bush's mandate to use more ethanol in domestic blends?
2007-03-09 04:25:08 · 9 answers · asked by kdog 2 in Politics & Government ➔ Other - Politics & Government
THE TAX IS USED TO BUY BULLETS
2007-03-09 04:31:28 · answer #1 · answered by strike_eagle29 6 · 0⤊ 1⤋
I read that is to "protect" the corn growers in the US. The Brazilians can make ethanol much ceaper from sugar cane that we, in the USA, can make it from corn. Therefore, in order to "protect" the corn growers from having the ethanol market being flooded with cheap ethanol from Brazil, the USA imposes a 54 cent tariff per gallon on imported ethanol.
I think it's BS too. I think if the Brazilians can make it cheaper, then good for them. IMHO, this should offer an incentive to create ethanol in a cheaper way here in the USA. Some people just do not like challenges. I think challenges offer us the opprotunity to grow.
2007-03-09 12:36:34 · answer #2 · answered by eyedoc999 3 · 0⤊ 0⤋
The ethanol industry here in the states is heavily subsidized by the US and many state governments. The tariff is designed to help get the so far unsuccessful US ethanol industry going.
Just watch the price of vegetable oils and foods that use them. Also expect beef, chicken, pork, and any other source of meat that we currently feed with corn and grains. Those will all start going up in price as ethanol becomes more popular.
2007-03-09 12:31:28 · answer #3 · answered by Still Learning 4 · 1⤊ 1⤋
Well, I think it is good intentions clouded by standard political idiots.
The goal is obviously an attempt to protect American farmers. I would prefer to get my ethanol from a local producer in turn putting money back into the local economy. Local producers are forced to pay their employees a higher wage which in turn drives up the price of locally produced ethanol, which means that we can't compete an a fair playing field with cheaply produced foriegn ethanol.
Oh.. right.. but raising the minimum wage is good for everybody.
2007-03-09 12:33:30 · answer #4 · answered by Snap 4 · 2⤊ 0⤋
Bush just announced some sort of ethanol deal with Brazil, so who knows what it will be now.
However, we do need to protect our farmers. It will never be 'cost effective' to dedicate land here to farming in a free trade situation, and I do NOT want to be 'dependant on foreign food.'
I just think equal protectionism should prevent outsourcing and mass immigration to the point where it drives wages below the prevailing wage for that industry.
2007-03-09 13:07:01 · answer #5 · answered by DAR 7 · 0⤊ 1⤋
Because the government is broke- too many parties, like the ones Teddy Kennedy throws at Martha's Vineyard- at government expense.
2007-03-09 14:15:39 · answer #6 · answered by Anonymous · 0⤊ 0⤋
It makes sense to have a tariff because they can grow it themselves. It's like me buying sperm though I can make my own. It doesn't make sense.
They just have more demand than they can supply I suppose, so until they catch up and have to keep importing, there'll be a tariff which makes total sense.
2007-03-09 12:34:18 · answer #7 · answered by Luis 6 · 0⤊ 0⤋
I hope so..
I'd be for any tarriff on ethanol.. We should be creating our own so we can keep it as a local economy..
2007-03-09 12:31:05 · answer #8 · answered by Anonymous · 1⤊ 0⤋
It is protectionism.
2007-03-09 12:28:12 · answer #9 · answered by Chainsaw 6 · 0⤊ 0⤋