The USA Today reported that in 2007, more than 25 percent of the corn crop could be

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The USA Today reported that in 2007, more than 25 percent of the corn crop could be used to produce ethanol, up from 20 percent in 2006 and 6 percent in 2000. USA Today also reported that farmers are expected to switch to corn from soybeans, wheat, and even cotton. One farmer, Leon Corzine of Assumption, Ill., said he plans to devote 90 percent to corn and 10 percent to soybeans in 2007. Four years ago he planted half corn and half soybeans. Explain why farmers are switching to corn production and if most farmers agree with Leon Corzine, how will the price of soybeans change.
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Foundations of Macroeconomics

ISBN: 978-0132831000

6th edition

Authors: Robin Bade, Michael Parkin

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