Gordon Geico (Warren Buffett) and his new Abacus

This blog is in response to the article, "Feisty Buffett supports Goldman, high on economy" (http://news.yahoo.com/s/nm/20100503/bs_nm/us_berkshire_buffett).

Looks like Warren Buffet (Gordon Geico) has become the next colossal AZZHOLE and non-apologist for Wall Street. Buffett says, "It's very strange to say, at the end of the transaction, that if the other guy is smarter than you, that you have been defrauded."

This is the guy who put 5 Billion into GS *before* our bailout. It's called free money. Buffett also got a 700 million dollar interest-free loan from the government (read David Cay Johnston's book, "Free Lunch," if you want to make your blood boil---get your doctor's approval first).

Let's remember who investors are: a subset of the population (usually wealthier) who expect to make money from their money---not from their labor but from your labor.

Can you put your money under a mattress and make money?

No.

Do real people actually have to produce something that sells to make money?

Yes.

Does fraud count as production?

No.

Then who are the producers?

America's workforce.

Are you saying that Warren Buffett makes a percentage of the excess value of those workers?

Yes. Most of them, and certainly the ones working for the companies in which he has invested.

So, he's not actually producing anything as an investor?

That's right, he doesn't actually produce anything, but he allows production to happen.

So, workers should be happy to have the jobs that Buffett's money provides?

Yes, but Buffett should be even happier that the tables aren't reversed.

So, why would Buffett start defending GS on what the SEC deemed as fraud?

He's not defending the fraud. He's defending the 5 Billion he put into GS.

And that's why he's lying about there being no fraud?

Yes, that's why he's lying about there being no fraud.

Simple as that?

We're talking about 5 Billion dollars.

So, Warren Buffett is a fraud for the sake of saving Berkshire Hathaway's money?

Yes, Warren Buffett is a fraud.

I thought Warren Buffett used to be a pillar of the financial community.

He used to be, but his morality can be purchased.

This is a new day in America.

Yes, it does appear that Warren Buffett has turned to the dark side, unless you never thought of him as being clean in the first place. He's always made his money off the backs of less fortunate people.

Do you think he's lost his credibility?

Yes, but not his fans---his Berkshire Hathaway shareholders.