Pros And Cons Of Ethanol Subsidies In The United States

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The United States government continues to provide subsidies for the production of ethanol because the future benefits of providing ethanol subsidies outweigh the costs of providing ethanol subsidies. Since taxpayers provide the funds for ethanol subsides, the subsidies do not directly cost the government financially. In addition, by providing ethanol subsidies the government would benefit in the future because the ethanol subsidies act as a strong incentive for the people in states whose economic structures greatly benefit from the ethanol subsidies to support the government officials who continue to provide economic subsidies.

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