High gas prices cause lots of public outrage, and so do high oil company profits. This was demonstrated yet again when ExxonMobil released record-breaking quarterly profits in late July, 2008. But when you examine just how much Exxon makes on each gallon of gas, those profits are less impressive, and they’re even smaller when you compare them to the taxes imposed by government on gasoline.
Those profits, moreover, are an indicator that gas prices may soon drop. If Exxon had suffered a loss, on the other hand, that could be a sign that gas isn’t priced high enough. In short, for advocates of affordable energy, high profits suggest that energy may become more affordable in the near future.