@article{Qiu:98795,
      recid = {98795},
      author = {Qiu, Cheng and Colson, Gregory and Zhang, Zibin and  Wetzstein, Michael E.},
      title = {An Ethanol Blend Wall Shift is Prone to Increase Petroleum  Gasoline Demand},
      address = {2011-02},
      number = {1371-2016-108872},
      series = {Selected Paper},
      pages = {16},
      year = {2011},
      abstract = {The US Environmental Protection Agency announced a waiver  allowing an increase in the Fuel-Ethanol blend limit (the  “blend wall” ) from 10% (E10) to 15% (E15) on  October,2010.Justifications for the waiver are reduced  vehicle fuel prices and less consumption of petroleum  gasoline, leading to energy security. In this paper,  employing Monte Carlo simulations and Savitzky-Golay  smoothing filter, an empirical study examines this waiver  revealing an anomaly where a relaxation of this blend wall  elicits a demand response. Under a wide range of  elasticities, this demand response can actually increase  the consumption of petroleum gasoline and thus lead to  greater energy insecurity. The economics supporting this  result and associated policy implications are developed and  discussed.},
      url = {http://ageconsearch.umn.edu/record/98795},
      doi = {https://doi.org/10.22004/ag.econ.98795},
}