Unintended consequences: Corn

All actions create a reaction, we all know that. But sometimes we do not fully realize all the consequences of an action.

A few months ago, the US congress passed a law to mandate an increase in the use of bio-fuels, mostly ethanol. The most efficient way to create ethanol would be from sugar, but there are duties on imported sugar, such as sugar cane from Brazil (a strong ethanol user). This is meant to give support to US corn farmers, which are currently suffering from record high corn prices.