Comment Question on Showing and Telling

In the comments from my last post, Camille asked a question and it's one that is meaningful enough to answer here. Camille indicated that she helps herself notice if she's telling rather than showing by noticing if she is drawing a conclusion for her reader. She knows she is showing when she allows them to draw the conclusion. With this in mind, here's her question:

What about when a character draws a conclusion, either in inner monologue, or through dialogue? Whether they're right or wrong about what they percieve? Like this line:
His smile faded. "No, no." He was a bad liar. (through another character's pov)
He may or may not be lying, but his actions tell the second character that he is. It is her perception of what she's seeing. Is that still telling?

My response:

Let me not lead anyone astray. First, although we all know that showing the scene is best, telling work, on occasion, in a variety of situation and is needed. If you're using a transition paragraph, getting from one place to another in a scene, you don't need a blow by blow description of the trip. Inthis case telling works. Within five minutes, Joe had made his way through the heavy traffic to the cafe. Readers don't want to drive the five minutes with Joe describing what he sees. Sometimes we use these scenes for introspection, and although I do this at times, the techniques has become somewhat of a clique in writing.

So don't fear some telling. When it's not important to know details but you need the paragraph to move the character from one location to another or to set up a dramatic scene, then tell but make it short and get on with the action.

Finally to Camille's questions:
In introspection, authors have the prerogative to draw conclusions in a character's thoughts whether the conclusion is right or wrong, because this is what real people do. They try to second guess what's going on, and they sometimes get it right and sometimes not. It is a technique to deepen characterization by pointing out the character's fears and flawed judgment, and most important, it helps to create conflict. When a character relates to another based on misjudgment, then problems can result. Think of situations in your own life when you misread someone's intentions. Misjudging creates tension in real life and in fiction, and tension is the driving force in a story.

A good writer uses every means of making characters three-dimension and real, so never fear using any technique that allows you to deepen characterization and make your characters come to life. Everyone make mistakes. Allow your characters to do the same.