Corn and Ethanol for Missouri's Future
MU agriculture economists studied the economic boost from Missouri ethanol plants. Their study focused on the impact of plant construction, revenue, and grain prices.
The findings are based on the state's three operational ethanol plants and the fourth plant under construction near Laddonia, in Audrain County.
They say the benefits of producing 350 million gallons of ethanol in the future will equate to more than 5,000 jobs and an increase of more than $700 million for Missouri's economy. That's good news for Missouri's economy, but the Corn Growers Association says it's also good for consumer's wallets at the pump.
"A small increase in demand or a small increase in supply really changes prices dramatically," says Gary Marshall, MO Corn Growers Association. "So we believe that by adding a little bit more ethanol to nation's transportation fuel supply, we can actually help decrease prices for consumers."
This study, boasting corn will be the state's future, was paid for by the Missouri Corn Growers Association, but researchers say that doesn't create any conflict of interest.
"Studies that we do are unbiased and provide the best information to the people who are interested. And so, my job as a scientist at the University of Missouri, the objective is to provide unbiased information and that's what we do," says Vern Pierce, a beef and dairy economist.
The research also said ethanol will help reduce America's dependence on oil, which President Bush outlined in his State of the Union Address.