A reading of the entire psalm will show us that the verse in question was part of a rebuke by God of the judges of Israel, who had exalted themselves above the people, and who were not providing justice as they were expected to. They are called "gods" in a sarcastic sense, because they have arrogated godlike authority to themselves. That they are "gods" in no real sense is evident from the following verse (verse 7), which says: But you will die like mere men; you will fall like every other ruler."
NeonMadman.
Your answer was good except for the comment that they are not gods in a real sense. They were gods to Israel and called or identified as such in this very Psalm. Just as the Kings of Israel were also called Gods they are gods by the position they held with the people. Jesus could be called God based upon this as he was a prophet and teacher with a following as well. This is why our Lord could use such texts in His defense. This use of this word to designate people who have authority is a valid scriptural point and the fact that such leaders will die like men does not alter their status. None of this should be confused with other uses of this term God where the Supreme Being is being addressed. In such cases there is but one true God. But in the world there are many gods and many Lords and such use is scriptural.
1 Corinthians 8:5 For though there be that are called gods, whether in heaven or in earth, (as there be gods many, and lords many,)
A truth clearly established in scripture and by this Psalm in fact. Then notice the context change in the next verse.
:6 But to us there is but one God, the Father, of whom are all things, and we in him; and one Lord Jesus Christ, by whom are all things, and we by him.
So we no longer have such prophets to guide us as Israel did but are being guided now by the Father as true God and one the one Lord Jesus Christ. This lesson to the Corinthians was aimed at those taking the lead in Corinth and spreading false teachings among the brothers there making more of themselves then they should (living as gods and lords among the brothers). So the use of the term God regarding humans is quite valid and proper. It also properly applies to Christ as our King.
Joseph