? Uh ?
I looked at those charts and don’t understand what you are trying to teach me. The first chart has the same price as I quoted in my post for 2008. $137
The second chart is slightly lower, but the price in time is still higher than today’s price. $127
And the gas prices are still higher in comparison to 2008. So I am not seeing where your explanation substantiates today’s price on gas?
Most of the oil we refine is imported.
The quoted price (WTI) of oil is a domestic price.
In July 2008, the imported price of oil, most of what we use to make gasoline, was cheaper than the quoted price (WTI).
In 2011, the imported price of oil, most of what we use to make gasoline, is more expensive than the quoted price (WTI).
The basis of the average price of gasoline comes from the average price of oil.
In July 2008, the average price of oil we used to make gasoline was less expensive than the quoted market price.
In 2011, the average price of oil we use to make gasoline is more expensive than the quoted market price.
What the refineries are paying for oil today is more expensive, relative the oil price you are comparing, than they did in July 2008.
Try the same comparison of gasoline vs oil price but this time use the OPEC basket price or the Brent Crude price. Your results will be significantly different than using the WTI price. WTI today is discounted compared to most world oil prices due to a pipeline bottleneck. New pipelines are planned to better support the location of our new domestic production.
Current OPEC prices:
http://www.opec.org/opec_web/en/data_graphs/40.htm
Historic OPEC prices:
http://www.petrostrategies.org/Graphs/OPEC_Basket_Crude_Oil_Prices.htm
I forgot another contributing factor that has raised average gasoline prices relative to oil prices since 2008.
Several states have added sales tax to gasoline sales that used to only tax by the gallon.
http://gasbuddy.com/Tax_Info.aspx