Network Doomsday Warnings Run Out of
Gas
Gasoline prices actually fell during the
week leading up to Memorial Day, but broadcasters reminded drivers
of ‘record highs.’
By Amy Menefee
June 1, 2005
    Memorial Day weekend brought the usual
slew of news reports about driving, and network reporters seemed
stumped that drivers would keep driving despite the price of gas.
What they didn’t point out was that gas prices actually declined
going into the holiday weekend.
    Rewind to April 10, 2005, when CBS’s
Trish Regan made a dire prediction on the “Evening News”: that the
“national average on a gallon of gas expected to hit $2.50 a gallon
by Memorial Day.” That prediction wasn’t attributed to the
government or an oil industry analyst, and it turned out to be far
from the truth. The national average for the week of Memorial Day
was about $2.09 per gallon, according to the U.S. Energy Information
Administration. That was down almost 3 cents from the previous week
and almost 20 cents lower than April’s price spike.
    Regan also said on that broadcast, “As
costs go up, consumers, who are already getting hit themselves at
the pumps, may decide to cut back on their personal spending.”
Anchor Mika Brzezinski added that “consumers cutting back can’t bode
well for the overall economy,” and Regan piled on: “Keep in mind
that consumers account for two-thirds of the overall economy. So
without them, you pretty much haven’t got much.” Despite this
broadcast gloom, consumer spending continued a steady increase at
0.6 percent in April.
    CNN’s Andrea Koppel also noted “sky high
prices” on the April 28, 2005, “Inside Politics.” She said drivers
were “just downright angry,” adding, “They know that with summer
driving season upon us that it's sure to creep even higher.”
    When Memorial Day weekend arrived,
journalists repeated their surprise, as Brian Williams said on the
May 27, 2005, “NBC Nightly News”: “This is the start of what the AAA
expects to be the busiest Memorial Day travel weekend ever, and
that’s despite those high prices for gasoline.” Tom Costello gave
the report that evening, erroneously saying that gas prices were
“just below the all-time high set in April.” The April high for the
national average per gallon was about $2.28, while the Memorial Day
week’s average was down to $2.09. Costello’s reference to an
“all-time high” was also misleading, because he failed to put the
price in context. Adjusted for inflation, prices would have to reach
about $2.88 today to beat the high from 1981, according to the
American Petroleum Institute.
    Other reports likewise overstated the
“historical” significance of the weekend’s prices. Adjusted for
inflation, current prices are still below historical highs. But
CBS’s Lee Cowan said gas prices were “at the highest they’ve ever
been for a Memorial Day weekend” on the May 27, 2005, “Evening
News.” Likewise, ABC’s David Muir heralded “historically high gas
prices for a holiday weekend” on the May 27 “Good Morning America.”
    At least the Los Angeles Times delivered
the reality of the situation. In an April 2, 2005, article, reporter
John O'Dell said “Analysts note that motorists can take some
comfort, however slight, in the fact that gasoline prices remain
well below their inflation-adjusted highs of the early 1980s.”
    For more information tracking gas prices
over time:
click here.
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