Salvo, Alberto; Huse, Christian; Goldbaum, Sergio; … - 2007
consumers, across ethanol and gasoline at the pump. We show that the model stands up well to the empirical covariation in prices … ubiquitously distributed alternative to oil-based fuels in road transportation: ethanol from sugarcane. Perhaps unsurprisingly, the … uptake of flexible-fuel (dual-fuel) vehicle technology has been tremendous. We provide a stylized model of the vertical sugar …