The Response of Corn Acreage to Ethanol Plant Siting

U.S. ethanol production capacity increased more than threefold between 2002 and 2008. We study the effect of this growth on corn acreage. Connecting annual changes in county-level corn acreage to changes in ethanol plant capacities, we find a positive effect on planted corn. The building of a typical plant is estimated to increase corn in the county by over 500 acres and to increase acreage in surrounding counties up to almost 300 miles away. All ethanol plants are estimated to increase corn production by less than their annual requirements.

Bosch, Darrell J.
Marchant, Mary A.
McKenzie, Andrew M.
Paudel, Krishna P.
Issue Date:
May 01 2014
Publication Type:
Journal Article
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PURL Identifier:
Published in:
Journal of Agricultural and Applied Economics, Volume 46, Number 2
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JEL Codes:
Q13; Q15; Q16; Q18

 Record created 2017-04-01, last modified 2018-01-22

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