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Critics call for short-term fixes on food, feed prices

If only corn-based ethanol would go away, they argue that feed prices would drop, the livestock sector would be able to make more money and food prices would decline dramatically. Over the long run, one cannot drive price below the cost of production, so in the long run average corn price would have increased even without ethanol. The argument that higher corn prices will cause meat prices to increase is a stronger argument because feed is a major cost of meat production.
Continued...

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