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Good News in a Bad News Headline
"March Housing Construction Drops 10.8 Percent"
By now you've probably seen headlines like this one. It's dramatic, it sounds like the world is ending for real estate, and it is just the kind of dramatic overstatement that makes me gag when I read the news. But have you actually READ the article? I've linked it to the headline.
Believe it or not, there's actually a lot of good news in there. The article explains that the percentage is based largely on the fact that multi-family home starts (apartments) are down, but in fact, single family home starts have stabilized. Here are two excerpts from the article which belie the headline:
"The much larger single-family sector actually stabilized in March at an annual rate of 358,000 units, the same level as February when single-family starts managed a small 0.6 percent rise."
"The bad news is that home construction is still in the tank. The good news is that single-family activity may finally be stabilizing," - Joel Naroff, an economist at Naroff Economic Advisers

So why the mixed message? No, wait, scratch that. Why the completely misleading, borderline outright lie of a headline? The answer is simple: bad news sells.
The media ... more

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