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Non-Tech : $2 or higher gas - Can ethanol make a comeback?
DAR 32.72-0.2%12:13 PM EST

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To: richardred who wrote (68)10/16/2004 10:45:22 PM
From: TimF  Read Replies (1) of 2801
 
Oil does get subsidies but your right there are a lot of taxes on oil or at least gasoline and the taxes probably add more to the price of gas then the subsidies reduce the price.

Even though highly targeted tax breaks could probably be considered a form of subsidy I don't have much problem excluding alternative fuels from any gas/oil/energy taxes.

If ethanol (or methanol, hydrogen, or whatever) is going to be viable in the near future the start up capital could come from private sector investors (could be big oil companies, or big agricultural companies, or venture capital eventually followed by IPOs, or maybe other forms of investment). Investors might not pay for the most basic research but I really think its mostly done. What lies ahead is development and building up infrastructure. I'd rather the feds not play a big role in that but I'm fairly libertarian, I'd prefer to do away with almost any government subsidy and most targeted tax breaks.

Tim
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