Hostname: page-component-cd9895bd7-jkksz Total loading time: 0 Render date: 2024-12-24T02:12:50.320Z Has data issue: false hasContentIssue false

Should We Invest in Biofuels?

Published online by Cambridge University Press:  26 January 2015

Michael E. Wetzstein*
Affiliation:
Department of Agricultural and Applied Economics, University of Georgia, Athens, Georgia

Abstract

The real advantage of receiving a Southern Agricultural Economics Association Lifetime Achievement award is the ability to make this presentation and have it published without having to deal with editors and referees. This provides a certain license of freedom to abstract outside the box without being constrained by your peers. So in this vein, consider the following myths and predictions concerning biofuels. These myths are generally consistent with the Grunwald's (2009) seven myths about alternative energy.

Type
Lifetime Achievement Awards
Copyright
Copyright © Southern Agricultural Economics Association 2010

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Adelman, M.A., and Watkins, G.C.Reserve Price and Mineral Resource Theory.The Energy Journal (Cambridge, Mass.) 29(2008):116.Google Scholar
Aguilera, R.F., Eggert, R.C., Gustavo, C.C., and Tilton, J.E.Depletion and the Future Availability of Petroleum Resources.Energy Journal 30(2009):141–74.CrossRefGoogle Scholar
Ahman, M., and Nilsson, L.J.Path Dependency and the Future of Advanced Vehicles and Biofuels.Sustainable Energy and Transportation Systems 16(2008):8089.Google Scholar
Bassi, A.M., Powers, R., and Schoenberg, W.An Integrated Approach to Energy Prospects for North America and the Rest of the World.Energy Economics 32(2010):3042.CrossRefGoogle Scholar
Carolan, J., Joshi, S., and Dale, B.Technical and Financial Feasibility Analysis of Distributed Bioprocessing Using Regional Biomass Pre-Processing Centers.Journal of Agricultural & Food Industrial Organization 5(2007):127.Google Scholar
Cordes, J.J., Ebel, R.D., and Gravelle, J.G. The Encyclopedia of Taxation & Tax Policy. Washington, DC: The Urban Institute Press, 2005.Google Scholar
Dam, J., Junginger, M., Faaij, A., Jürgens, L., Best, G., and Fritsche, U.Overview of Recent Developments in Sustainable Biomass Certification,” International Energy Agency Bio-energy Task 40 Technology Report, December 2006.Google Scholar
De La Torre Ugarte, D.The Contribution of Bioenergy to a New Energy Paradigm.Euro-Choices 4,3(2005):613.Google Scholar
Doering, O.Energy Systems Integration: Fitting Biomass Energy from Agriculture into U.S. Energy Systems.” Agriculture as a Producer and Consumer of Energy. Outlaw, J., Collins, K., and Duffield, J., eds. Cambridge, MA: CABI Publishing, 2005.Google Scholar
Doering, O.Ethanol and Energy Policy.BioEnergy. 340(2006):14.Google Scholar
Epplin, E, Mapemba, L., and Tembo, G.Economic Modelling of a Lignocellulosic Biomass Biorefining Industry.” Agriculture as a Producer and Consumer of Energy. Outlaw, J., Collins, K., and Duffield, J., eds. Cambridge, MA: CABI Publishing, 2005.Google Scholar
Gallagher, P., Schamel, G., Shapouri, H., and Brubaker, H.The International Competitiveness of the U.S. Corn-Ethanol Industry: A Comparison with Sugar-Ethanol Processing in Brazil.Agribusiness 22(2006):109–34.Google Scholar
Gardner, B., and Ty, W. ner. “Explorations in Biofuels Economics, Policy, and History: Introduction to the Special Issue.Journal of Agricultural & Food Industrial Organization 5(2007):16.Google Scholar
Ginder, R.Potential Infrastructure Constraints on Current Corn-Based and Future Biomass Based U.S. Ethanol Production,” Working Paper, 07018. Iowa State University, Department of Economics, 2007.Google Scholar
Grunwald, M.Seven Myths about Alternative Energy.” Foreign Policy September/October 2009.Google Scholar
Harri, A., Nalley, L., and Hudson, D.The Relationship Between Oil, Exchange Rates, and Commodity Prices.Journal of Agricultural and Applied Economics 41(2009):500–10.Google Scholar
Harrison, R.W.The Food versus Fuel Debate: Implications for Consumers.Journal of Agricultural and Applied Economics 41(2009):493500.Google Scholar
Hayes, D., Babcock, B., Fabiosa, J., Tokgoz, S., Elobeid, A., Yu, T., Dong, F., Hart, C., Chavez, E., Pan, S., Carriquiry, M., and Dumortier, J.Biofuels: Potential Production Capacity, Effects on Grain and Livestock Sectors, and Implications for Food Prices and Consumers.Journal of Agricultural and Applied Economics 41(2009):465–91.CrossRefGoogle Scholar
Henderson, J., and Akers, M.Will Energy Markets Refuel the Rural Economy?Federal Reserve Bank of Kansas City Economic Review 92(2007):5374.Google Scholar
Henniges, O., and Zeddies, J.Biofuels-Experiences and Perspectives in Industrialized and Developing Countries.Quarterly Journal of International Agriculture 46(2007):349–71.Google Scholar
Heywood, J.Fueling Our Transportation Future.Scientific American 295(2006):6063.CrossRefGoogle ScholarPubMed
Jochem, E.An Efficient Solution.Scientific American 295(2006):6467.CrossRefGoogle Scholar
Kammen, D.The Rise of Renewable Energy.Scientific American 295(2006):8493.Google Scholar
Kenkei, P., and Holcomb, R.Challenges to Producer Ownership of Ethanol and Biodiesel Production Facilities.Journal of Agricultural and Applied Economics 38(2006):369–75.Google Scholar
Kilian, L.Not All Oil Price Shocks Are Alike: Disentangling Demand and Supply Shocks in the Crude Oil Market.The American Economic Review 99(2009):105369.Google Scholar
Lilliston, B. “CAFTA's Impact on U.S. Ethanol Market,” Institute for Agriculture and Trade Policy. Institute for Agriculture and Trade Policy I ATP, 2005.Google Scholar
Michaelis, L.The Abatement of Air Pollution from Motor Vehicles.Journal of Transport Economics and Policy 29(1995):7184.Google Scholar
Miranowski, J.Biofuel Incentives and the Energy Title of the 2007 Farm Bill.” Working Paper. Institute of Science and Society, Iowa State University, Ames, Iowa, 2007.Google Scholar
Parry, W.H., and Small, K.A.Does Britain or the United States Have the Right Gasoline Tax?The American Economic Review 95(2005):127689.Google Scholar
Parry, W.H., Walls, M., and Harrington, W.Automobile Externalities and Policies.Journal of Economic Literature 45(2007):373–99.Google Scholar
Petrolia, D., Bhattacharjee, S., Hudson, D., and Herndon, C.W.Do Americans Want Ethanol? A Comparative Contingent-Valuation Study of Willingness to Pay for E-10 and E-85.Energy Economics 32(2010):121–28.CrossRefGoogle Scholar
Runge, C, and Senauer, B.How Biofuels Could Starve the Poor.Foreign Affairs (Council on Foreign Relations) 86(2007):4153.Google Scholar
Sheldon, I., and Roberts, M.US Comparative Advantage in Bioenergy: A Heckscher-Ohlin-Ricardian Approach.American Journal of Agricultural Economics 90(2008):123338.Google Scholar
Smith, J.L.World Oil: Market or Mayhem?The Journal of Economic Perspectives 23(2009):145–64.Google Scholar
Tareen, I.Y., Wetzstein, M.E., and Duffield, J.A.Biodiesel as a Substitute for Petroleum Diesel in a Stochastic Environment.Journal of Agricultural and Applied Economics 32(2000):373–82.Google Scholar
Tembo, G., Epplin, F., and Huhnke, R.Integrative Investment Appraisal of a Lignocellulosic Biomass-to-Ethanol Industry.Journal of Agricultural and Resource Economics 28(2003):611–33.Google Scholar
Tyner, W., and Taheripour, F.Renewable Energy Policy Alternatives for the Future.American Journal of Agricultural Economics 89(2007):130310.CrossRefGoogle Scholar
Vedenov, D., Duffield, J.A., and Wetzstein, M.E.Entry of Alternative Fuels in a Volatile U.S. Gasoline Market.” Journal of Agricultural and Resource Economics 31 (2006):113.Google Scholar
Vedenov, D., and Wetzstein, M.E.Toward an Optimal U.S. Ethanol Fuel Subsidy.Energy Economics 30(2008):207390.Google Scholar
Young, D.L.Biofuels: Political/Economic Boondoggle or Energy Salvation for Western States?Journal of Agricultural and Resource Economics 34(2009):383–94.Google Scholar
Zhang, Z., Lohr, L., Escalante, C., and Wetzstein, M.E.Mitigating Volatile U.S. Gasoline Prices and Internalizing External Costs: A Win-Win Fuel Portfolio.American Journal of Agricultural Economics 90(2008):121825.Google Scholar
Zhang, Z., “Ethanol, Corn, and Soybean Price Relations in a Volatile Vehicle-Fuels Market.Energies 2(2009):320–39.Google Scholar
Zhang, Z., “Food versus Fuel: What do Prices Tell Us?Energy Policy 38(2010):445–51.Google Scholar
Zhang, Z., Qiu, C., and Wetzstein, M.Blend-Wall Economics: Relaxing U.S. Ethanol Regulations Can Lead to Increased Use of Fossil Fuels.Energy Policy 38(2010):342630.Google Scholar
Zhang, Z., and Wetzstein, M.E.Biofuel Economics from a US Perspective: Past and Future.CAB Reviews: Perspectives in Agriculture, Veterinary Science, Nutrition and Natural Resources 3,075(2008):115.Google Scholar