There's been lots of attention about increased oil company profits. Even President Obama is worried that consumers are being defrauded at the pump. So are oil company profits excessive?
No. According to the latest data, "Major Integrated Oil and Gas" companies (a group that includes Exxon, BP, Gulf, etc.) had a 6.5 percent net profit margin (profits/sales) in the most recent quarter. Considered among all industries, Carpe Diem says that the category ranks 114 out of 215. By contrast, Apple showed a 95 percent increase in profits in the last quarter -- though the Justice Department isn't investigating any other industry for price gouging.
It's politics, not economics--because Obama doesn't understand economics.