Psalm 82

"I said, “You are gods,
And all of you are children of the Most High." v.6

Read chapter 82

God calls his people gods.  Kind of confusing since there is to be only one God right? 

First we need to realize who Asaph, the writer of this psalm is speaking to.  In verse one he says he 'stands in the congregation of the mighty.'  He's preaching to the judges of Israel not to the whole nation.  

Second, the Hebrew word for gods here is elohim which is plural for god, rulers, judges, either as divine representatives or reflecting diving majesty and power.

So he's calling them judges like God, greatest honor and responsibility was put on them.

"To the words of this verse our Lord appealed (John 10:34 ff.), when the Jews accused Him of blasphemy because He claimed to be one with God. In virtue of their call to a sacred office as representatives of God the judges of old time were called gods and sons of the Most High, and this in spite of their unworthiness. Was it then blasphemy, He asked, for one who had received a special consecration and commission as God’s representative, one whose life and work bore witness to that consecration, to call Himself the Son of God?" (Cambridge Bible)

God allows men to rule over men so that there is some form of government and a type of what's to come of the perfect government, the Kingdom of God.  It's hard for men to be given much honor from God and not be proud of it.