Location: Pantego, Texas, United States

Tuesday, August 31, 2010

The Obama Administration (EPA) is preparing to mandate E15 gasoline for the United States. At present gasoline sold in the US is E10, that is, the fuel is a blend of 90% gasoline and 10% ethanol. E15 is 85% gasoline and 15% ethanol. Ethanol is made from corn, so the farm lobby is pushing hard for this change. This change should result in higher prices for corn. EPA has hesitated to make this change because E15 fuel burns hotter than E10, and is damaging to automobile engines and catalytic converters. One result of the change will be costly repair bills, and a shorter life for many cars now in service. (Democrats appear to be believers in the "broken window fallacy," so probably view the repair bills and replacement car sales as a positive.) Ethanol has about 2/3 the energy as gasoline, so the change will also reduce fleet car mileage by about 1.5%.


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