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Gasohol, a blend of 90 percent unleaded gasoline and 10 percent ethanol, has been represented as an alternative to pure gasoline which can reduce the nation’s crude oil dependence. However, a systems analysis of the gasohol production processes indicates that gasohol is increasing rather than decreasing the nation’s dependence on crude oil. Alternative uses of the petroleum and natural gas currently used to manufacture ethanol would reduce the nation’s demand for oil. At the present time, every gallon of crude oil “saved” by substituting ethanol for gasoline results in a need to import approximately two gallons of crude oil. The federal government’s claim that gasohol can reduce the nation’s dependence on imported energy appears, to be based principally on political considerations, but also on the assumption that coal will eventually replace the petroleum and natural gas currently used in the gasohol production wherever possible.