Buffett Bullish on America

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3 Responses

  1. If this deal goes through, it might be the first totally private ownership of a major American Railroad in the history of this country

  2. Christa says:

    You know his habits far better than I ever could, but I had a suspicion that he designed the betting language in such a way that people reading the language would become more optimistic about investing in US stocks.
    For example, if Buffett had simply said he invested because after analysis he believes that railroads are smart right now, people might buy railroad stock, but they would not buy much of anything else. People likely feel that they lack the same skills for analysis of investments, so they are uncertain about placing bets, so to speak, in investments they think but are not sure are good.
    However, when Buffett places a “bet” on the economy as a whole, that gets people thinking, “I am in a risky position, too, and I am uncertain, too, but if Warren Buffett is willing to take a risk, maybe I should.”

  3. Blunt Instrument says:

    Railroads run both ways. Could this also be characterized as a prediction on increasing exports as the dollar falls further and foreign demand for US farm and manufactured products soars?