Turn it off then. He didn't say she pays more - he said she's paying more as a % of her income, which is factually true.
The point is, while around the world cap. gains get lowered (for obvious reasons) Mr. Buffet wants to raise them. What the world is missing that you see Mr. Buffet, I would like to ask him??????
credit has tightened huge in many areas of non secured business lines. also its tightened massive for any with less than a 700 fico. in addiction almost all no doc loans and sub prime loans are gone which knocks out 40% of previous borrowers
Buffet sounds like he's fear mongering passage of the bill. Banks will lend, just at much higher rates from whats parlayed currently. If that means effective 10-15% business credit lines to recoup their billions in off-book CDO losses, then its 10 or 15%. That would spell a market crash and severe recession. Notice all this shit (sorry to be so crude), is caused by the Banks. They voted 1% Fed Funds, they created the Bubble, they wrote horrible mortgages, they bought it, then, on the downside, refuse to inject credit into the market so to recapitalize their own losses (thereby exacerbating the already weakening housing market and their own underwater Balance sheets!), then, if we don't bail, will jack rates even more, which will tank their balance sheets even more as the economy/housing craps even more, and that spells an even longer wait until banks recapitalize off the spread. Its entirely the banks fault yet they hold all the power, and continually act in their own interest at the expense of the Country. But thats the way our "System" (read: Ponzi Scheme) was set up. Because the Great Inheritors were stupid and naive.
That was a line from 'Office Space.' You are pretty uptight. Yes, and I'm not forgetting that he just laid down a hefty 5 billion for Goldman Sachs preferred.
Goldman might have sold most/all their junk. Its hard to say. If Buffet saw a Global bottom, he'd be long the entire financial industry instead of 1 premier investment bank. I think Goldman cleared themselves relatively well, and regardless of what the economy does, has enough capital to weather it and come out on top for the next bubble. Unlike their competitors that either went under or bought. Notice Buffet didn't dump another 5 Billion into Citi and another 5 into Bank of America. That says something,.
If you notice, the Banks are playing 100% prisoners dilemma/game theory. One or two maverick banks loan cheap to juice the economy, the rest sit back and loan higher. The effective is a negligible change in overall rates and the mavericks eventually go under from no cash flow. So every bank loans high, hoards capital and we all get screwed in the process.