Fending off criticism that they fear could jeopardize ethanol subsidies, Ohio corn growers shot back at corporate food producers yesterday, saying they continue to charge high prices and reap big profits even as corn prices plunge.
Corn growers are facing off against a broad coalition including livestock groups, restaurants and corporate food companies that is calling on President-elect Barack Obama to end the nearly $5 billion in annual subsidies for the ethanol industry.
Since I've already angered the auto industry, why stop there? I'm opposed to many (most?) farm subsidies. I'm all for correcting externalities by subsidising beneficial behaviors and taxing costly behaviors.
But artificially inflating incomes of inefficient businesses? That's bad policy.
