According to the Commerce Department, housing starts were up 10.5% in August. This is a level that is a couple percent higher than August, 2009.
While this may be an optimistic sign, one of CNBC's Squawk Box regulars, I believe it was Becky Quick, raised an interesting concern. She questioned whether an increase in building was good or bad for housing. With a current inventory that seems to do nothing but increase, I can see her point.
Perhaps a "cash for clunkers" restriction when issuing building permits for residential construction could improve the market by limiting existing inventory. If you want to build a new home, raze one or two "clunker" homes as a requisite. Any thoughts?
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