What is the effect of these tariffs on the price of the ethanol-gasoline mixture?
2007-03-22 13:36:14 · 2 answers · asked by ovidiu u 1 in Social Science ➔ Economics
No they should not have. They did it to protect the corn producers who can make the corn based biofuels. The fact is that sugar cane based biofuels are produced and could be imported at a much cheaper price without the tariff than the corn based biofuels can be produced here in the USA. Thus the effect of the tariff is that it deters people from using the sugar cane based biofuels and encourages the corn based biofuels even though the sugar can based biofuels could be cheaper...
2007-03-22 16:51:37 · answer #1 · answered by Pagli 2 · 0⤊ 0⤋
They didn't need to, but since they did, it increases the price of biofuel and the oil prices are withheld.
2007-03-22 16:13:12 · answer #2 · answered by Santa Barbara 7 · 0⤊ 0⤋