Gasoline Taxes Per Gallon Are Almost 7 X ExxonMobil’s Profit

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Location: Washington, D.C., United States

Dr. Mark J. Perry is a professor of economics and finance in the School of Management at the Flint campus of the University of Michigan. Perry holds two graduate degrees in economics (M.A. and Ph.D.) from George Mason University near Washington, D.C. In addition, he holds an MBA degree in finance from the Curtis L. Carlson School of Management at the University of Minnesota. In addition to a faculty appointment at the University of Michigan-Flint, Perry is also a visiting scholar at The American Enterprise Institute in Washington, D.C.


From Marks blog Carpe Diem


The map above from API shows gasoline taxes by state (combined local, state and federal), which range from a low of 26.4 cents per gallon in Alaska to a high of of 66.1 cents per gallon in California, averaging 48.1 cents per gallon across all states. How does that compare to oil company industry profits per gallon?
According to this post on Exxon Mobil’s Perspective Blog , “For every gallon of gasoline, diesel or finished products we manufactured and sold in the United States in the last three months of 2010, we earned a little more than 2 cents per gallon. That’s not a typo. Two cents.”
Update: ExxonMobil is now reporting that for its retail gasoline operations in the U.S., it made an average profit of 7 cents per gallon during the first quarter of 2011.
The chart below shows the difference graphically:

4 thoughts on “Gasoline Taxes Per Gallon Are Almost 7 X ExxonMobil’s Profit

  1. Patrick Gage March 29, 2012 / 6:24 PM

    No wonder gas prices are so high! Our government adds $0.50 per gallon! I didn’t know it was that high. Shocking, quite shocking.

    • Talon's Point March 29, 2012 / 8:38 PM

      I have no idea if the recent spike has changed the stats much but even if Oil Industry profits are up in straight dollars the dollar itself is being devalued by the Fed so it may be down in real value.

  2. blogsense-by-barb March 29, 2012 / 6:05 PM

    Hm Kinda matches up to Dem states and Rep states, funny! I’m in a blue state (PA) and we’re glowing RED above!

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