A funny thing, government interference in markets. The US government, thanks
mainly to the fact that the Iowa caucus is politically very important, is doing
its best to encourage the market in corn ethanol. But front-page articles in
both the NYT
and the WSJ
have the price of ethanol plunging. Meanwhile, the Dutch goverment is cracking
down on the market in marijuana, and even George Michael is cutting
back on his intake, but the main visible effect is that marijuana
prices are up 20% this year. Maybe what the corn industry needs isn’t subsidies
but a few armed raids!