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Economist examines the link between housing prices and the broader economy

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When housing prices fall, the effects go beyond people looking to sell their homes. A report out yesterday showed US housing prices in major metropolitan areas fell to their lowest level since 2003. And in the last year, prices in the Twin Cities fell the farthest of the twenty markets tracked in the closely watched Case Shiller Index.

To help us understand how falling home prices affect the broader economy, MPR's Cathy Wurzer spoke with Jeanne Boeh, the chair of the economics department at Augsburg College.