This article is concerned with the effects of the substitution of cornstarch-based biodegradable polymer resins for petroleum-based plastic materials and resins on the U. S. economy. The analytical approach used in the study consists of a computable general equilibrium model composed of 14 producing sectors, 14 consuming sectors, and 6 household categories classified by income and a government. The results suggest that, for example, for a $1.00 per pound of resin subsidy, the substitution of cornstarch-based biodegradable polymer resins for petroleum-based plastic materials and resins will result in an increase in output by all producing sectors of 0.067% or about $542 million and an expansion in output in the agricultural program crops sector (primarily corn) of about $431 million, a rise in the consumption of goods and services by about 0.003% or $110 million, a rise in total utility by 0.004% or $168 million and a net increase in government expenditures of 0.047% or $369 million.