“The number of foreclosures this year are expected to reach 2 million, a number not seen since the Great Depression.”Statistic 1: Population of the US in 1933*: 125 million
Statistic 2: Population of the US in 2009: 307 million (US Census estimate)
Statistic 3: Foreclosures as percentage of population 1933: 1.6% or 16 per 1,000
Statistic 4: Foreclosures as percentage of population 2009: 0.65% or 6.5 per 1,000
(* I used 1933 as the reference for the Great Depression as that's when the greatest number of foreclosures took place.)
Analysis: While the total number of foreclosures might be greater, as a percentage of all mortgages and population, the rate is less than half that of 1933.
Conclusion: The number presented in the NPR report has no meaning because there's absolutely no context. It just sounds bad.
No comments:
Post a Comment
Comments are welcome. However personal attacks, legally actionable accusations,or threats made to post authors or those commenting upon posts will get those committing such acts banned from commenting.