ethanol production has significantly reduced the profit margin of the oil refinery industry

[Fledermaus]

Using pooled regional time-series data and panel data estimation, we quantify the impact of
monthly ethanol production on monthly retail regular gasoline prices. This analysis suggests that
the growth in ethanol production has caused retail gasoline prices to be $0.29 to $0.40 per gallon
lower than would otherwise have been the case. The analysis shows that the negative impact of
ethanol on gasoline prices varies considerably across regions. The Midwest region has the
biggest impact, at $0.39/gallon, while the Rocky Mountain region had the smallest impact, at
$0.17/gallon. The results also indicate that ethanol production has significantly reduced the profit
margin of the oil refinery industry.

http://www.card.iastate.edu/publications/DBS/PDFFiles/08wp467.pdf

[Skink]

1. We should nationalize the oil refinaries

we have a strategic reserve for oil. It would create good paying jobs. We could invest in energy efficient, i.e. green refinaries. This is a case where the Government would do a better job than the free market.

[GliderGuider]

2. Self delete

[excess_3]

3. refineries are not the problem

crude oil price is the problem

[losthills]

4. Self dilusion is a sad thing to witness....

[JohnWxy]

5. Very interesting. I noticed this year the price of gasoline at the pump went up WITH the price of

crude oil. Used to be the retail price of gas went up mORE than the price of crude.


recommended. (you realize this is way to 'deep'(i.e. requires a little reading and thinking (oh my!?) for those who prefer their 'insights' to be simplified to point of absurdity.)

[madokie]

6. Thats all fine and good but the real problem is excessive profits

to the point its criminal and if it isn't it damn sure needs to be. No one should be allowed to make the kind of profits the oil companies are making today and its all on our backs. That should be one of the functions of our government to make sure we aren't being fleesed like we are by them today, right now.