Ethanol Cost and Environmental Factors
Congressional Budget Office Analysis
The use of ethanol in gasoline has increased substantially over the past decade. Most ethanol in the United States currently is produced from domestically grown corn, and the rapid rise in the fuel’s production and usage means that roughly one-quarter of all corn grown in the United States is now used to produce ethanol. Since 2006, food prices have also risen more quickly than in earlier years, affecting Federal spending for nutrition programs (such as school lunches) and the household budgets of individual consumers. The Congressional Budget Office (CBO) estimates that the increased use of ethanol accounted for about 10…
