Blame Lazy Workers for Mortgage Rate Increases

According to the AP today,

Stocks fell for a second straight session Thursday as concerns about inflation and an overall economic slowdown weighed on investors.

Wall Street, already armed with recent economic data pointing to a housing slowdown, was forced to digest sour anecdotal evidence as well. Beazer Homes USA Inc., Hovnanian Enterprises Inc. and KB Home warned that the home-building sector is facing difficulties including cancellations and spikes in inventories.

Would this not indicate that home prices should fall, the opposite of inflation? On the other hand, if the Fed sees fit to raise interest rates again, it would hurt the housing market further.

The story goes on to cite rising labor costs as part of the inflation concern. Decreased productivity pushes labor higher, yet we are seeing calls for an increased minimum wage? Is there a national work slowdown I'm not aware of? With the leaps in technology, we should be seeing increased productivity. I am flummoxed.