Study shows RFS has benefitted U.S. economy

August 22, 2017

GianCarlo MoschiniA new economic modeling study by GianCarlo Moschini, professor, that will soon be published in the American Journal of Agricultural Economics finds that the Renewable Fuel Standard has substantially benefited the U.S. economy by lowering gasoline and crude oil prices, cutting crude oil imports, adding value to U.S.-produced agricultural commodities, and reducing U.S. greenhouse gas (GHG) emissions.

“The results confirm that the current RFS program considerably benefits the agriculture sector, but also leads to overall welfare gains for the United States,” according to the study’s authors, Iowa State University economists GianCarlo Moschini, Harvey Lapan, and Hyunseok Kim. “We find that the RFS has indeed proved to be a remarkably effective tool for farm support.”

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