Why We Don’t Need an Ethanol Mandate
The Post-Dispatch has a quick-hitter about a rebuilt gas station in Brentwood that is now offering E-85 gasoline. (I used to fill up at this station all the time when I lived in Brentwood Forest.) Because there is no mandate to sell E-85, the station owners have to include the reduced energy output of ethanol gas in their pricing. According to the story, they are selling it for 20 cents less per gallon.
This is how markets are supposed to work. Our new SUV (just doing my part to get the economy moving) is a flex fuel vehicle. I honestly didn’t think much about that when we bought it, I was much more concerned with making sure my wife and I had the ultimate set of rims. But if a station gives me enough of a price reduction on the E-85 gas, I will certainly consider buying it. This is the nature of capitalism: The government does not tell me what I have to buy; businesses give me a choice. Recent events have probably made people forget about that.
What model did you finally decide on Dave? The Escalade I imagine? Wait, wait. I forgot your political allegiances– obviously you went with the Hummer.
Comment by Jake Voss — February 18, 2009 @ 1:54 p.m.
Dodge. Durango. American-made, and proud to say it.
Comment by David Stokes — February 18, 2009 @ 3:23 p.m.
The Missouri Senate is tossing around the idea of creating a bio-diesel mandate which requires all diesel fuel in Missouri to be mixed with 5% Bio-diesel fuel. I agree with you David, if bio-diesel blends (or ethanol blends) are truly the future of fuel innovation, then sales should rise naturally in the market as consumers demand rises for them, instead of forcing them into the market and upon consumers.
Comment by Ryan — February 18, 2009 @ 3:29 p.m.
“If We Buy American, No One Else Will”
“Mom, Apple Pie and…Toyota?”
“Buy American? How?”
“Boudreaux on the Economics of ‘Buy Local’”
“‘Buy American’ is UN-American”
“Smoot-Hawley’s Grandchild: Buy American”
Comment by Eric D. Dixon — February 18, 2009 @ 4:53 p.m.
Dave, you of all people should realize that “American made and proud of it” is ridiculous. All those Toyota, Honda, Nissan and BMW plants in the US employ someone don’t they ? Also, their vehicles tend to perform quite well.
Also – Chrysler will soon go bust, meaning that your warranty will be up in the air and servicing costs are sure to increase as there are fewer dealerships and Chrysler focused repair shops.
Should have gone with another “everything’s maroon Diplomat”
Comment by Mike — February 19, 2009 @ 3:05 a.m.