If ethanol for fuel creates more jobs and slows money flow out of the country it is a significant benefit in these times. It also pressures crude oil lower, and is renewable. One can not forget that there is no way around it, burning ethanol or crude oil for fuel is an environmental negative. Conservation is the best option. we will know more about peak oil in a few years. I think what we saw in price of oil in 2008 was the first glimpse of what happens when supply cannot meet demand and that was in the short term. The recession is going to push back peak oil date but it will come.
I guess you have never seen the massive piles of corn next to the elevators after harvest. The corn sat on the ground for months. Ethanol production has reduced the amount of excess corn. The 1.80 to 2.00 per bu was the price of corn during the glut years, today corn is running 3.30.~md
Some people agree with you, I do not. It is too simple and probably wrong to blame high ag commodity prices on the bio fuel industry/demand. In some way the price of commodities has to be high enough to sustain farming, and it has at times not done so. As a result bankrupt farmers and aid concerts were required. The cost to farm has increased and this has to be passed on to the consumer of farmers go out of business. Its just too simple to blame bio fuel for the higher cost of ag commdities. If there was an infinite source of crude oil i would have agreed with you, but there is not such good luck. Still think direct food aid could offset the hardship poorer nations have with high corn or other food commodity prices.