No. of Recommendations: 9
Mr. Buffett also said in his annual letter, which was published after the current administration took office, that he will continue to invest in US businesses and that the US is still the best place to invest or something to that effect. Are we saying he just said it, but doesn't really mean it?He's said it a hundred times - "Never bet against America". It's also amazing that suddenly many people are doubting his practice of buying "good companies at fair prices" rather than basing his investments on whatever particular macroeconomic effects happen to be going on at a particular time. It's almost as if some people believe that he changed his ways after 60+ years.
It's also ridiculous that people worry more about one particular politician (and a buffoon at that) than about the real simple arithmetic that shows the USA in a decline due to debt. I've shown the arithmetic many times in various places, and it's almost always ignored. I used to think that it was due to innumeracy, but it appears that it is more due to cognitive dissonance. It's trivially simple arithmetic that anyone with a 5th grade education can do. Simply make a chart, easy to do in Excel or in google sheets, make two columns, one for GDP and one for debt. Now pick an interest rate, and pick a GDP growth, and pick a number for govt spending growth, you can be as optimistic as you want, and run it for 20 or 30 years. What do you see? Yes, what you will see using any sane numbers will be what is called a "debt spiral". And if that continues unabated, and it
IS continuing unabated despite minor differences between the two political parties, we spiral into oblivion. Here's a really good chart that shows the main cause of the above, we simply spend way too much to govern ourselves. It's similar to the cause that ended the Roman Empire centuries ago.
https://tinyurl.com/42t7rzxsSo if you really want to bet against America, bet against it for a real reason rather than some short-term politics that you may hate.
