Difficulty is defined by (a) frequency of use, (b) frequency of spelling pattern, and (c) developmental norms. It is not difficult, then, for teachers to place students with words of appropriate difficulty based on simple measures of instructional level (Schlagal, 1996).
If one assumes that shifts in the supply curve of ethanol are solely due to the changing price of corn, then, up to an ethanol price of $2.90, the price of corn completely determines the price of ethanol. In other words, the price of corn drives the price of ethanol, not the other way around. This is actually quite logical since the amount of ethanol used is essentially fixed; consequently, something else must be driving the price of ethanol.
The U.S. domestic ethanol price decreases by 14.1 percent, which results in a 7.5 percent decline in production and a 3.2 percent increase in consumption. The lower domestic price leads to a 2.5 percent rise in the share of fuel ethanol in gasoline consumption. U.S. net ethanol imports increase by 192.8 percent. Brazil responds to the higher world ethanol price by increasing its production by 8.8 percent on average. Total ethanol consumption in Brazil decreases by 3.2 percent and net exports increase by 61.9 percent relative to the baseline. The higher ethanol price leads to a 4.7 percent increase in the share of sugarcane used in ethanol production. The removal of trade distortions and 51Â¢ per gallon tax credit to refiners blending ethanol induces a 22.5 percent increase in the world ethanol price.