Revealing mistake: Just after Michael is about to be rammed by the two Land Rovers, he jumps onto K.I.T.T. and gets inside. The film must have been reversed as he is sitting on the right-hand side, but when it cuts he is then shown to be sitting on the left-hand side.
Revealing mistake: When Michael and K.I.T.T turbo boost the flame thrower and disable the fire engine, Michael says to K.I.T.T "get the clown." During the shot prior to K.I.T.T pinning the clown in you see the hands steering K.I.T.T appear above the dash.
Answer: KITT didn't choose to go off the cliff in Goliath Returns, it just happened as he tried to avoid Goliath. Just 'cus it happened, doesn't mean It's gonna cure his fear of "flying"