Will We Escape the Blow?

By: Mr. Wilson on January 23, 2008

Two local economists interviewed by the Journal Star say Lincoln and Nebraska will fare better than the nation in a recession. That's good news. Unfortunately, one of the reasons cited for Nebraska's ability to escape the worst of the storm concerns me:

"Biofuels and ethanol production have underpinned the state’s economy for industries such as transportation."

I am very uncomfortable with Nebraska's booming reliance on corn-based ethanol. That industry feels very fragile and temporary to me. We may escape the worst of this recession, but if we aren't careful, Nebraska could be in a world of hurt in the not-so-distant future. Or maybe I'm just playing Chicken Little.

Comments

See what your friends and neighbors have to say about this.

Fletch

January 23, 2008 at 5:18PM

I think the ethanol “boon” will be more of a boondoggle.

Mr. T

January 23, 2008 at 7:12PM

The thing that bothers me about corn based ethanol is the extent to which the industry is currently dependent on subsidies or mandated usage. I am all for developing newer forms of energy, and I realize that it takes time to develop a corresponding infrastructure and consumer market however.

As for Nebraska specifically, is it that wise to keep on supporting an industy to such a huge extent when we have some serious water management issues facing us too? I’d be more comfortable supporting corn ethanol if corn wasn’t so irrigation dependent too.

Gene

January 23, 2008 at 8:15PM

I’m telling, Mr. T!!!!

Mr. T

January 23, 2008 at 8:23PM

shhhhh…

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