CNN Chief Business Correspondent Christine Romans warned Thursday that low gas prices could be a bad sign for the economy. “Now, one of th...
CNN Chief Business Correspondent Christine Romans warned Thursday that low gas prices could be a bad sign for the economy.
“Now, one of the things that can be sort of the downside, if I could say this, of lower gas prices: sometimes they fall because you’re worried about a recession,” Romans said.
“So they’re falling for the wrong reasons. You know, they were very low during the pandemic. That’s because we were in the middle of a pandemic,” she continued. “And sometimes you’ll hear people say, ‘Oh, you know, gas prices are up so much from that pandemic low of $1.85.’ Well, you don’t want low gas prices because the economy is crashing, right?”
Gas fell to less than $2 per gallon during the pandemic due to a decrease in demand, but gas prices were also relatively low before COVID-19 hit the United States. The national average price of a gallon of regular gasoline was $2.74 in 2018 and $2.60 in 2019.
President Joe Biden falsely claimed in October that gas prices were “over five dollars” when he took office despite the national average price being $2.39 on Jan. 23, 2021, just days after Biden took office.
The national average price of gas did not reach $5 until June 2022, five months into Biden’s term. Gas cost less than $3 per gallon for the entirety of the Trump administration.
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