Warren Buffet

[Bluegrasscard]

The reason Obama has to demonize those at the $200K is simple. There are lot more $200K earners vs. $1M. Triple the current taxes on $1M earners - and it will be a nit. There just are not that many earning $1M a year. Especially in this stock market. Unearned income is still down. The problem is alot of $200K earners are small business owners and are job creators. When you go after them. You are going after the jobs incubator. But in a central controlled economy you do not care - or even understand possibly.

[lynks66]

This is where the full transcript would come in handy as I can't speak for Warren Buffet. My own view is that their are two levels to the argument. First, the government does a lot of things - from the necessary to the negligible, depending on your view - thus when we discuss deficits and debt we have to decide which of those things the government should quit doing or find ways to pay for it. On the second level, if you wanted to donate money to help victims of domestic violence, for instance, your best option is to find an organization that is doing a good job servicing domestic violence victims or working to prevent it and giving them the money. Giving that money to the government would only help the deficit (imperceptibly at best) which wouldn't do anything to help domestic violence, even assuming the government is both doing something to alleviate the problem and you agreed with the specific policies. So, we can have discussions about which policies should or shouldn't exist as well as to how to fund the government and at what level and I think Warren Buffet is simply talking about the latter. I think the government does some things well and some things poorly and it does things we agree with and things we don't agree with, but if we only paid for the things we liked individually none of it would work.

 

I may have missed your response to this questions earlier, so if so, I apologize. What are some of the things you feel the government does well?

[rockmom]

Well, Warren Buffet at least is putting his money where his mouth is...He's betting $5 billiion on BofA.

[2 Humped Camel]

Well, Warren Buffet at least is putting his money where his mouth is...He's betting $5 billiion on BofA.

 

It's a no risk investment, he knows they have the complete guarantee of the United States Government.

[rockmom]

It's a no risk investment, he knows they have the complete guarantee of the United States Government.

 

Still...he's not giving it to the government BUT he is giving.

[Habib]

I may have missed your response to this questions earlier, so if so, I apologize. What are some of the things you feel the government does well?

 

In a sentence, I think the government is in the unique position to provide needed oversight and regulation, research, certain types of investment (e.g. infrastructure), and security. Which isn't to say those areas are free of any of the problems inherent in a large bureaucracy, but things I believe are valuable and needed that wouldn't exist otherwise or would otherwise exist poorly.

[Mr.Network]

Still...he's not giving it to the government BUT he is giving.

 

Not quite. He is investing, not giving. Berkshire Hathaway is getting 6% Preferred Stock and will make $300,000,000 a year in interest. As someone said, BOA is essentially backed by the federal government. You can't get US debt at anything close to that.

[Voice of Reason]

Just out of curiousity, what things would you say the government does well?

 

Provides for the safety of the people (defense). Best in the world at that without a doubt.

 

Promotes (that's for you, LN) a capitalist business environment that has created the world's greatest economy. The American Dream still exists and our borders are overflowing with people who want to be part of it.

[woodsrider]

Heard on the radio today that Buffett made a paper profit of $280,000,000 today. After his investment the stock went up 5%+.