Ethanol: Another dose of snake oil?

Another article, from the Star-Tribune, on the hype of ethanol, which summarizes the issue pretty well:

1)Ethanol results in more carbon emissions – “By clearing forests and grasslands [to produce ethanol], they are releasing far more carbon dioxide than is saved by biofuels’ lower emissions.”
2)”Ethanol production also threatens our underground water aquifers”
3)”Ethanol production is contributing to a steep rise in global food prices
4)Ethanol does not reduce dependence on foreign oil: “Ethanol production consumes nearly as much energy as it produces.”
5)’James Eaves and Stephen Eaves, writing in Regulation quarterly, observe that “if we devoted 100 percent of all corn grown in the United States to producing ethanol, we could displace only about 3.5 percent of current gasoline consumption.”‘

So why does Governor Rendell continue to push subsidies and mandates for ethanol: “It’s is an economic boon for corn farmers and ethanol producers. “