They See Problems, I See Solutions
Apr. 14th, 2007 07:58 pmEthanol and the price of corn...
I keep seeing little news segments on how the desire for ethanol is leading to higher prices in corn. This means higher prices in livestock feed and so higher consumer prices in beef, milk and likely eggs. There's the fear that the current minor price hikes will eventually become major price hikes facing us as consumers. However, I don't think this is not the problem it seems.
Now I know that we all want to hold onto more of our money rather than less of it. At the same time we all wish to do what we need to in order to minimize the damage we're doing to the environment. A minor price increase is a small concession to make in the environmental impact and the fuel independence it gives us as a country.
But I'll go even further and say that even a medium price increase is a good thing. That is, assuming we spread it around a bit.
Aside from the price increase of the corn, there's the concern that other agricultural staples will increase as farmers follow the money and plant corn instead of other crops we use daily. That means wheat, soy and other favorites will increase in price as demand stays steady but supply drops. My solution, involve the people hardest hit by the price increases in meeting the new demands, whether that be the corn itself or the wheat and such it replaces.
Low income, crime-ridden areas exist in every city. Vast vacant lots and blocks upon blocks of abandoned buildings line the streets where the increase in the price of milk could determine if anyone there ever buys it again. Corn is hearty and will take almost any soil you give it if you properly fertilize it. What's more, corn and other staples grow well hydroponically. Urban community farms across the country could be the answer to the supply/demand question as well as how to bring money into communities businesses fear moving into.
Turning vacant lots into community farms, abandoned buildings into year round greenhouses, and a city's poorist residents into community share-holders addresses several issues.