Ethanol or gasoline marginal analysis


Problem: Ethanol is widely used as a component in gasoline. Ethanol can be produced from various crops, with corn as the usual production supply in the United States. General Motors promotes their flexible-fuel vehicles (FFVs) that are capable of burning either gasoline or E85 ethanol-85%/gasoline-15% blend.

Use marginal analysis data to support your position to defend or dismantle the following statement.

Ethanol is a viable alternative to gasoline.

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Microeconomics: Ethanol or gasoline marginal analysis
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