The text frame is empty on the master page, but it's still on the master page, which is why you see the dotted frame edge. If you want to keep text frames on the master page, it could be assumed that you want text in them, yes? The way it's done in InDesign is that you release the frame from the master page to the document page, and it becomes like a text frame that was created on the document page (i.e., it won't show the dotted frame edges). To release a text frame from the master page to the document page, you can select the page in the Pages pallet, go to the fly-out and select Override All Master Page Items, which you probably don't want to do for several reasons. A better way is to hold Shift and Command (Mac OS, or Shift and Control if you're on Windows) and click on the master-page item on the document page. That will release just what you click on. The third way is if you want to create new document pages dynamically as you place text from a text file. This is how people who use master-page text frames do it. If you have lots of text from MS Word or some text file that you want to import into InDesign, but you want it all in (for example) a 3x5" frame on right pages or a 4x6" frame on all left pages, or something other than full-page text frames that anchor to all four margin guides, you would go to File>Place, navigate to your text file, and once the cursor is "loaded" with type, you click into the un-released text frame on the document page. This will override the frame to the document page, and all text that doesn't fit will be overset (the little red indicator will show). If you want to have InDesign create new pages until all of the overset text is used up, hold the Shift key before clicking into the un-released frame on the document page. The reason people use master-page text frames is so that they can change the geometry, position, fill color, stroke, or many other aspects of the master frame on the master page, and all of the frames on the document pages will respond in kind. Any alterations you make to a released frame on the document page, other than populating it with text, will lose that aspect. So, if you move a relesed frame on document page 3, moving the frame on the master page will move all of them except the one on page 3. You can still change the fill color on the master page, and the one you moved will change color, but that's because you didn't change the color on the document page, so it's color is still connected to the master. And because relesed frames have the solid frame edges, they may be easier to see.
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