Gas prices have settled a bit around the $3 per gallon level. And, contrary to last week’s confusing post on this question (hey, I’m a newbie on this whole energy economics thing), apparently this enormous price of oil by the barrel means refiners are not making enough money to send their kids to private school and also make the payments on the condo in Vail. From TWIP:
[N]et income and margins for large refiners were lower in the third quarter of 2007 than in the third quarter of 2005 and 2006. In fact, net income for this group of companies during the third quarter (in real terms, adjusted to Q307 dollars) was very similar to net income over the 2000 through 2004 period.