I was just playing around in WordPress to test out a theory. Basically have a home page at the main site URL and then a section for my news at /news/ All I did was create a new page called news and then a template file for this page to spit out the posts, and then changed the permlinks to have a prefix /news/ before them as well. Finally I just changed index.php to have my custom content.
So then I thought well why the heck would someone create YET another page and then tell WordPress to use one for posts and then the other for the homepage? When the method I have just tried out is 100% more efficient. I'm not sure why this option is even their. Afterall if your wanting to have a *static* homepage then your going to be using a special template for it anyways, so why not just have index.php as your home, and then your posts as an another template file???