Source Characteristics in Denying Rumors of Organizational Closure: Honesty Is the Best Policy

Effect of source honesty and appropriateness on effectiveness of rumor denial was tested. When the source was perceived as high on honesty, the denial was more successful in reducing belief and anxiety associated with the rumor. Source appropriateness (operationalized as a combination of source knowledgeability and status) did not have a main effect on belief or anxiety reduction. Honesty and appropriateness had an additive effect, such that the denial was most successful in reducing belief when the source was perceived as high on both honesty and appropriateness.