Are Rising Food Costs Related to Rising Fuel Costs

Are Rising Food Costs Related to Rising Fuel Costs?

ECO 550

Are the rising food costs related to rising fuel costs? Not only does the rising costs of fuel cause an increase in prices, but the use of some crops to make biofuels also drives the cost of food up.

High crude oil prices have fueled interest in finding alternative energy sources and reducing dependency on import oil supplies. The emergence of biofuels has given rise to an alternative market for a number of agriculture commodities.

Fossil fuel is a general term for buried combustible geologic deposits of organic materials formed from decayed plants and animals that have been converted to crude oil, coal, natural gas, or heavy oils by exposure to heat and pressure in the earth's...