U.S. home prices dropped 8.9 percent in the final quarter of 2007 compared with a year ago, Standard & Poor's said Tuesday, the steepest decline in the 20-year history of its housing index.
"We reached a somber year-end for the housing market in 2007," Robert Shiller, professor at Yale University and chief economist at MacroMarkets LLC, said in a statement,
Economists worry the housing slump will plunge the broader economy into a recession. The economy grew an anemic 0.6 percent in the fourth quarter.
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