Posted by mike lee on January 23, 2009 at 20:55:28 from (204.110.227.11):
In Reply to: Re: ethanol posted by paul on January 23, 2009 at 19:57:43:
The commodity market was designed so, in the case of wheat, the miller could be reasonably confident he could purchase wheat at a future date for said amount and the farmer could sell at a future date for a price agreed upon. When outside speculators get into the picture and trade paper the market becomes confused. True supply and demand is great. Manipulated supply is not. It drives up consumer prices, devalues currency, and lowers the standard of living. The common denominater in every society that has fallen has been instability.
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