Uh, no. Even the government admits to 35+ % of the cost of a gallon of gasoline to be taxes; the fact of the matter is that its almost 50 to 60 [depending upon locale] when taking all sorts of taxes on things/processes necessary to deliver that gallon to you. Also, people [lacking knowledge] decry the numbers of the 'obscene profits' of major oil companies; however, those numbers are actually a fairly small percentage of investment. The [in]famous Exxon Mobil 'glut' represents a 4.2% profit margin... Ask Apple about their margin. Or, if you really want a shocker, look at nike. In the US at least, the average profit margin for the major oil companies is less than 10%. The other most important industry for the basic consumer - grocery stores - averages 3%. [individual farmers usually even less] Power companies [electric and natural gas] also average 10%. So the most important things we use/need have a 10% or less margin [on average] in their business. Contrast that with totally useless things like major motion picture producers and television stations. Or attorneys ; the average attorneys profit margin exceeds 65%!
Uh, no. Even the government admits to 35+ % of the cost of a gallon of gasoline to be taxes; the fact of the matter is that its almost 50 to 60 [depending upon locale] when taking all sorts of taxes on things/processes necessary to deliver that gallon to you.
ReplyDeleteAlso, people [lacking knowledge] decry the numbers of the 'obscene profits' of major oil companies; however, those numbers are actually a fairly small percentage of investment. The [in]famous Exxon Mobil 'glut' represents a 4.2% profit margin... Ask Apple about their margin. Or, if you really want a shocker, look at nike.
In the US at least, the average profit margin for the major oil companies is less than 10%. The other most important industry for the basic consumer - grocery stores - averages 3%. [individual farmers usually even less] Power companies [electric and natural gas] also average 10%. So the most important things we use/need have a 10% or less margin [on average] in their business. Contrast that with totally useless things like major motion picture producers and television stations. Or attorneys ; the average attorneys profit margin exceeds 65%!