Good Money After Bad Booze

There’s an apocryphal saying – it’s often incorrectly attributed to De Tocqueville – that goes “a free society can only survive until the people discover they can vote themselves largesse from the public treasury”. 

Apocryphal or not, it’s coming to vivid, horrifying life all around us.

We’ve bailed out the negligent financial industry and the smug, complacent auto industry and unions. 

Now?  Nick Loris writes that some even more-useless industries are at the trough; now, the Ethanol industry wants some taxpayer love.  Or should we say, more of it:

If you want a slippery slope example, you’re witnessing it. An auto bailout would set a disturbing precedent, resulting in even more private companies clamoring for government sponsorships. A number of companies today could make the case that their respective industry is vital for the economy and begin requesting billions of dollars in bailout subsidies. And if an ethanol bailout follows an auto bailout, who knows who will be next in line.

Ethanol has been receiving preferential treatment for thirty years and has proven to be unsuccessful. Even after decades of special tax breaks and subsidies, ethanol still provides only a small fraction of America’s energy needs. The government’s initial goal to kick start the ethanol business has morphed into the government trying to pick winners and losers among energy sources and has ultimately created a dependence mentality for the ethanol industry. It’s time to let ethanol stand on its own two feet or die.

And to make matters worse, ethanol isn’t doing any of the things it intended to do – ethanol literally is making matters worse.

Raising food prices, contributing to the global grain crunch, polluting more, depleting the aquifers, and begging for handouts?

If it were a bum, we’d put it in treatment.

4 thoughts on “Good Money After Bad Booze

  1. If it were a bum, we’d put it in treatment.

    Since ethanol is at least tangentially related to agriculture, we should take the approach they take on the farm — take ethanol out behind the barn and shoot it.

  2. “take ethanol out behind the barn and shoot it. ”

    Joyce Peppin’s (R-Rogers) bill last year in the house came surprisingly close to doing just that in Minnesota, with a fairly high level of support from some farmers (turkey farmers mostly I suspect).

    She’ll continue this effort this year as assistant minority whip

    “She’ll also continue to rail against corn ethanol subsidies, a contentious issue that puts her at odds with some farmers in her district. But the subsidies are actually hurting other corn growers, she explains. “

  3. Bloggers have been trying to arrange an Intervention for years to expose the lies, the deceit, the broken promises, the denials, the reckless behavior and all the enabling associated with ethanol abuse.

    It’s time for a two-step plan.

    1. Take it out behind the barn.
    2. Shoot it.

  4. screw the ethanol bail out. Clearly the next bailout should go to 47 year old white guys living in Wichita who work for IBM. $5 million should do it.

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