Profits of Oil Companies and Others

I watched a news report today where the reporters drove 650 miles and among the things they said that struck me was that the easiest way to save gas is to drive slower, yet they found that NO ONE (their words) was driving the speed limit even. We are not driving less. We are not driving slower. We are doing nothing to help the gas / oil problem except pointing fingers and blaming others for the problem.

The biggest blame falls on the oil companies for they are making obscenely enormous profits while the average American suffers. But lets take a look at a possible scenario. I say possible, because I really don't know how the oil companies do their pricing, nor do I know how they are making such huge profits. I only present one possible scenario whereby the oil companies would make huge profits BUT be doing NOTHING differently. Here goes:

Lets say oil is $25 a barrel and the oil companies refine it and mark it up 10% before sending it out to consumers. The oil refiner makes $2.50 a barrel, and assumingly, a profit, because after all that IS why they are in business. OK, Now fast forward to the current $75 a barrel. Without increasing their pricing policy at all, the oils companies that were making $2.50 a barrel (on a !0% markup), when they were paying $25, are now making $7.50 a barrel when they are paying $75 a barrel, thus effectively tripling their profits, YET not changing a thing about their business practices. NO price gouging, contrary to what the majority think. This is what EVERY company does; mark up the products they sell at every level until it gets to the consumer. Its the American way.
Granted most companies sell things that aren't viewed by consumers as a NECESSITY, and as a result at some point these retailers must decrease their "percentage" of profit in order to continue to entice people to buy their product. But this is NOT the case with oil & gas. Nor is it the case with insurance, Doctors, Diapers, baby formula and certain other foods and heck even religions don't bother to lower their "prices." We the consumer can and do cut down on purchases, quantities and donations on our own. Are the oil companies and others who refuse to lower their "prices," greedy, immoral even? You betcha! But is it illegal? NO! Very, very few companies (if any) will voluntarily cut down on their profits unless forced to do so by the consumer. We do have it in our power, but we are loathe to do it because it means we too must sacrifice and that's never fun.
I have a few examples:
A few years ago while in San Francisco, I attended mass in a Catholic church there. I listened as the priest told his parishioners what a wonderful job they've done surpassing ALL expectations with their donations / offerings / tithes (?). So much so, he said that they were even able to give goodly sums to various outside causes. He then went on with a "however," and stated that it is his job to figure out how to get people to give more!!! His idea? He told people to bring less one dollar bills with them to church! A little tongue in cheek humor? Sure, but deadly serious none the less.
My next example is ice cream. Now I'm sure I'm not the only one who noticed this, but ice cream has always been sold in quarts and half gallons. But during the past year (or so) a specific brand I buy (Turkey hill, although they are not alone) has gone from half gallons (64oz) for about 5 bucks, to 56 oz for the same price and then about two months ago 48 oz for still the same price. That my friends is a 25% increase in about a year. I wrote to turkey hill twice inquiring about this and the fact that its basically hidden from the consumer because the average person might not have noticed. Have you? Go check, some stores still have "older" containers that are 56 oz, while the newer stock is now 48oz. And your paying the same prices. Well both times Turkey hill declined to answer my email, but I know I sent it to the right place because when I write to compliment them, - they answer!
Sorry for going off track and onto one of my tirades again, but hey that's me what can I tell ya. Point is that the oil companies are "maybe" doing business as usual and increasing their profits without altering their practices at all, but solely because their costs have increased and WE, the consumer, the ones who REALLY DO control prices, have done nothing in some cases, and not enough in others.