The Sage of Omaha speaks

It’s hard to have anything but immense respect for Warren Buffet. Here’s a guy who worked his way up from nothing to become the world’s second richest man. And he’s giving most of it away in conjunction with the Bill and Melinda Gates Foundation. So when he writes an article about how to fix the U.S. economy, people sit up and listen. I just read his prescription for change and I have to say I think it’s brilliant, and I am definitely not an Economist. He frames the remedy with historical perspective and solid numbers, and then wraps it in easy to understand language. That’s one reason why it’s brilliant–it helps newbs understand what’s going on. I sincerely hope people in Washington follow Buffet’s advice.

More important, however, is that foreign ownership of our assets will grow at about $500 billion per year at the present trade-deficit level, which means that the deficit will be adding about one percentage point annually to foreigners’ net ownership of our national wealth.