The Corn Ethanol Boom and Food Prices

Authors

Richard K. Perrin, University of Nebraska-LincolnFollow
Luke Beckman, University of Nebraska-LincolnFollow

ORCID IDs

Richard K. Perrin

Date of this Version

2-13-2008

Document Type

Article

Comments

Published in Cornhusker Economics, 02/13/2008. Produced by the Cooperative Extension, Institute of Agriculture and Natural Resources, Department of Agricultural Economics, University of Nebraska–Lincoln.
http://www.agecon.unl.edu/Cornhuskereconomics.html

Abstract

From January, 2006 to December, 2007 the Consumer Price Index (CPI) went up 6.5 percent. During this same period, ethanol production increased 75 percent, which helped grain prices to rise dramatically – corn price doubled, wheat went up even more, and soybeans a little less. Casual reading of the public press would suggest that there must be some connections here.