An interesting blog on this question is found at Monkey Speaks. Walter Minkel suggests that is not as bad you think it is and gives a few numbers to back his thoughts.
If you read the blog and his observations are true, do you believe it all about newspapers wanting to scare people away from Internet just so they will read newspapers instead? I don't. I believe it more because people do not understand the technology, and therefore don't trust it. Your thoughts?