Why people prefer to believe in rumours

On 1 July 2005, The Star carried a banner headline "What increase?". Below the headline was a rider, "PM denies fuel price increase".

The opening paragraph of the report said: It's not true. There will be no fuel price increase just yet, said the PM.

"Rumours are never correct," he said, when asked by reporters on talk that petrol prices were going up by as much as 20 sen. (He was referring to a rush to petrol stations by hundreds of motorists who were anticipating price hikes.)

Why did the paper report this without asking critical questions about Petronas and worries over global petroleum reserves. Why is there no analysis of the Peak Oil theory? Why is there no call for conservation of fuel? Why is there no call for much improved public transport?

A month later, petrol prices were raised once again. So the rumours were only out by one month! But again, there is no serious analysis to explain why petrol prices should be raised when Petronas has posted a 50 per cent jump in net profit. There was one piece (written a few days before the price hike) by Minister in the Prime Minister's Department Mustapa Mohamad which raised more questions than answers.

Is it any wonder that people choose to believe rumours than reports in the mainstream media? Is it any wonder than the credibility of the mainstream media has sunk?