My boss has spoken: Listen to him

Warren Buffett: One of the few billionaires I respect and one of my bosses.
Warren Buffett: One of the few billionaires I respect and one of my bosses.

One of my bosses has a message to America:  Stop betting against America.

Warren Buffett, considered one of the saviest investors in this country and the owner of BH Media, owner of The Floyd Press, The Roanoke Times, The Richmond Times-Dispatch and many other newspapers large and small throughout the country, is ultimately the man I work for nowadays

“For 240 years it’s been a terrible mistake to bet against America, and now is no time to start,” Buffett said Saturday in his annual letter to shareholders of Berkshirek Hathaway.  “America’s golden goose of commerce and innovation will continue to lay more and larger eggs.”

Buffett has no love for the likes of Donald Trump, Ted Cruz or Bernie Sanders.  He’s supporting Hillary Ciinton for the 2016 Presidential election.  She won the South Carolina Democratic Primary overwhelmingly Saturday and appears back on track to secure her party’s nomination for President while naysayer, vulgarian and con artist Donald Trump is turning the GOP into chaos.

Says Buffett:

It’s an election year, and candidates can’t stop speaking about our country’s problems (which, of course, only they can solve). As a result of this negative drumbeat, many Americans now believe that their children will not live as well as they themselves do.

That view is dead wrong: The babies being born in America today are the luckiest crop in history.

Today’s politicians need not shed tears for tomorrow’s children.

Buffett began investing in newspapers at a time when others thought our industry was dead.  He, and Floyd Press editor Wanda Combs, are the reason I have a job at a profession I love.

Buffett says productivity “is the all-important factor in America’s economic growth over the past 240 years.”

“That kind of improvement has been the secret sauce of America’s remarkable gains in living standards since the nation’s founding in 1776,” he says. “Unfortunately, the label of ‘secret’ is appropriate: Too few Americans fully grasp the linkage between productivity and prosperity.”

Buffett is far richer and far more successful than Donald Trump.  He employs far more people and impacts far many more Americans than any Presidential wannabe.

“American GDP per capita is now about $56,000,” Buffett said in his letter. “As I mentioned last year that – in real terms – is a staggering six times the amount in 1930, the year I was born, a leap far beyond the wildest dreams of my parents or their contemporaries.”

He says American efficiency and productivity drives that growth, adding “this all-powerful trend is certain to continue: America’s economic magic remains alive and well.”

He adds:

That kind of improvement has been the secret sauce of America’s remarkable gains in living standards since the nation’s founding in 1776. Unfortunately, the label of “secret” is appropriate: Too few Americans fully grasp the linkage between productivity and prosperity.

No one knows what ‘the day after’ will look like.  I think, however, that Einstein’s 1949 appraisal remains apt: “I know not with what weapons World War III will be fought, but World War IV will be fought with sticks and stones.”

 

 

 

2 Responses to My boss has spoken: Listen to him

  1. Fossil fuels, and our willingness to steal them from other countries once our supply peaked in 1970 are the secret sauce that allowed the US to dominate the world.

    Too bad we’ve destroyed a stable climate in the process.

    Regarding Trump, check out this article by Matt Taibbi of the Rolling Stone:
    http://www.rollingstone.com/politics/news/how-america-made-donald-trump-unstoppable-20160224

    Trump is saying out loud uncomfortable truths that is just driving the GOP establishment bonkers. What a show!

    This bs by Buffett reminds me of Obama saying that anyone who says the economy is not healthy is “peddling fiction”. It’s Buffett and Obama that are peddling fiction.

  2. “As I mentioned last year that – in real terms – is a staggering six times the amount in 1930, the year I was born, a leap far beyond the wildest dreams of my parents or their contemporaries.”

    Let’s quote this in clear context. Is this quote taking in to account inflation? I cannot say for certain, but I am willing to bet that prices now are more than six times what they were in 1930.