Warren Buffett Says Negative US Outlook Is ‘Dead Wrong’
Billionaire investor Warren Buffett rejects economic pessimism about the US, especially surrounding the US presidential campaign.
The negativity in the campaign has Americans believing their children can expect lower standards of living than they experience, Buffett wrote in a letter to shareholders. “That view is dead wrong: The babies being born in America today are the luckiest crop in history,” Bloomberg reports.
Disputing the claims from fellow billionaire Sam Zell, Buffett cites the sixfold increase in economic output per capita since 1930, saying the US's trend of increased output and productivity will continue.
Even if the current cycle is in the ninth inning, Buffett has reason for his optimism—his firm Berkshire Hathaway just reported a 21% increase in earnings for 2015, with a net profit of $24B (not exactly doomsday numbers).
The firm's earnings were boosted by a one-time investment gain through its stake in Kraft Heinz. (Because the ketchup clearly cuts the mustard. Over to you, Sam.) [Bloomberg]