Simulated Ethanol Transportation Patterns and Costs

Wyatt Thompson and Seth D. Meyer

Journal of the Transportation Research Forum, 2009, vol. 48, issue 01

Abstract: Ethanol production booms in the Midwest in 2007. Regulations require ethanol be included as a fuel additive in many areas as of 2006, though consumer willingness to adopt ethanol blends voluntarily is uncertain and benchmark ethanol and oil prices fluctuate. In this context, we jointly simulate consumer demand for ethanol and ethanol transportation costs. Results demonstrate a non-linear relationship between benchmark prices and transportation costs that depends critically on (1) the prevalence of additive ethanol use in a state and (2) the proximity of local prices to parity in energy equivalent terms.

Keywords: Public; Economics (search for similar items in EconPapers)
Date: 2009
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://ageconsearch.umn.edu/record/206983/files/1751-3126-2-PB.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ags:ndjtrf:206983

DOI: 10.22004/ag.econ.206983

Access Statistics for this article

More articles in Journal of the Transportation Research Forum from Transportation Research Forum
Bibliographic data for series maintained by AgEcon Search ().