In the Republican debate Wednesday evening 11/09/2011, the moderator asked a question about housing. The CNBC moderator prefaced the question by putting up statistics on a screen, of which, one of the statistics mentioned that $7 trillion dollars of home value has been lost since 2007.
That statistic, as a preface, implicitly assumes that the values in 2007 were true economic values [earned values]. How in the world can a bubble value be shown as a reference point for loss? Stated alternatively, is the $7 trillion “loss” merely the true value revealed ?
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