I have to agree, regardless of what happens next year (and I would also like to see a source for Life2k's claim that corn production is going up) if ethanol and E85 become popular you will see the price of corn rise to meet demand, which will price many marginal buyers out of the market.
In Alberta, Canada the problem is already rearing it's head, here is a summary:
Over the last half dozen years Cattle farmers have seen prices and demand for beef drop, some due to market manipulation by large beef producers (Cargill, IBP), lots due to Bovine Spongiform Encephalopathy (BSE or Mad Cow Disease). Now the industry is facing more challenges because the growing biodiesel market is buying up the materials which used to be used as cattle feed, in turn raising feed prices and, by extension, beef prices (and lowering profits for farmers).
While I love to see the farms shut down, or have to start growing vegetation for money, it still pulls the whole country down when people are unemployed or starving.