Best of the Week
Most Popular
1. Investing in a Bubble Mania Stock Market Trending Towards Financial Crisis 2.0 CRASH! - 9th Sep 21
2.Tech Stocks Bubble Valuations 2000 vs 2021 - 25th Sep 21
3.Stock Market FOMO Going into Crash Season - 8th Oct 21
4.Stock Market FOMO Hits September Brick Wall - Evergrande China's Lehman's Moment - 22nd Sep 21
5.Crypto Bubble BURSTS! BTC, ETH, XRP CRASH! NiceHash Seizes Funds on Account Halting ALL Withdrawals! - 19th May 21
6.How to Protect Your Self From a Stock Market CRASH / Bear Market? - 14th Oct 21
7.AI Stocks Portfolio Buying and Selling Levels Going Into Market Correction - 11th Oct 21
8.Why Silver Price Could Crash by 20%! - 5th Oct 21
9.Powell: Inflation Might Not Be Transitory, After All - 3rd Oct 21
10.Global Stock Markets Topped 60 Days Before the US Stocks Peaked - 23rd Sep 21
Last 7 days
Inflation and the Crazy Crypto Markets - 23rd Oct 21
Easy PC Upgrades with Motherboard Combos - Overclockers UK Unboxing - MB, Memory and Ryzen 5600x CPU - 23rd Oct 21
Gold Mining Stocks Q3 2021 - 23rd Oct 21
Gold calmly continues cobbling its Handle, Miners lay in wait - 23rd Oct 21
US Economy Has Been in an Economic Depression Since 2008 - 22nd Oct 21
Extreme Ratios Point to Gold and Silver Price Readjustments - 22nd Oct 21
Bitcoin $100K or Ethereum $10K—which happens first? - 22nd Oct 21
This Isn’t Sci-Fi: How AI Is About To Disrupt This $11 Trillion Industry - 22nd Oct 21
Ravencoin RVN About to EXPLODE to NEW HIGHS! Last Chance to Buy Before it goes to the MOON! - 21st Oct 21
Stock Market Animal Spirits Returning - 21st Oct 21
Inflation Advances, and So Does Gold — Except That It Doesn’t - 21st Oct 21
Why A.I. Is About To Trigger The Next Great Medical Breakthrough - 21st Oct 21
Gold Price Slowly Going Nowhere - 20th Oct 21
Shocking Numbers Show Government Crowding Out Real Economy - 20th Oct 21
Crude Oil Is in the Fast Lane, But Where Is It Going? - 20th Oct 21
3 Tech Stocks That Could Change The World - 20th Oct 21
Best AI Tech Stocks ETF and Investment Trusts - 19th Oct 21
Gold Mining Stocks: Will Investors Dump the Laggards? - 19th Oct 21
The Most Exciting Medical Breakthrough Of The Decade? - 19th Oct 21
Prices Rising as New Dangers Point to Hard Assets - 19th Oct 21
It’s not just Copper; GYX indicated cyclical the whole time - 19th Oct 21
Chinese Tech Stocks CCP Paranoia, VIES - Variable Interest Entities - 19th Oct 21
Inflation Peaked Again, Right? - 19th Oct 21
Gold Stocks Bouncing Hard - 19th Oct 21
Stock Market New Intermediate Bottom Forming? - 19th Oct 21
Beware, Gold Bulls — That’s the Beginning of the End - 18th Oct 21
Gold Price Flag Suggests A Big Rally May Start Soon - 18th Oct 21
Inflation Or Deflation – End Result Is Still Depression - 18th Oct 21
A.I. Breakthrough Could Disrupt the $11 Trillion Medical Sector - 18th Oct 21
US Economy and Stock Market Addicted to Deficit Spending - 17th Oct 21
The Gold Price And Inflation - 17th Oct 21
Went Long the Crude Oil? Beware of the Headwinds Ahead… - 17th Oct 21
Watch These Next-gen Cloud Computing Stocks - 17th Oct 21
Overclockers UK Custom Built PC 1 YEAR Use Review Verdict - Does it Still Work? - 16th Oct 21
Altonville Mine Tours Maze at Alton Towers Scarefest 2021 - 16th Oct 21
How to Protect Your Self From a Stock Market CRASH / Bear Market? - 14th Oct 21
The Only way to Crush Inflation (not stocks) - 14th Oct 21
Why "Losses Are the Norm" in the Stock Market - 14th Oct 21
Sub Species Castle Maze at Alton Towers Scarefest 2021 - 14th Oct 21
Which Wallet is Best for Storing NFTs? - 14th Oct 21
Ailing UK Pound Has Global Effects - 14th Oct 21
How to Get 6 Years Life Out of Your Overclocked PC System, Optimum GPU, CPU and MB Performance - 13th Oct 21
The Demand Shock of 2022 - 12th Oct 21
4 Reasons Why NFTs Could Be The Future - 12th Oct 21
Crimex Silver: Murder Most Foul - 12th Oct 21
Bitcoin Rockets In Preparation For Liftoff To $100,000 - 12th Oct 21
INTEL Tech Stock to the MOON! INTC 2000 vs 2021 Market Bubble WARNING - 11th Oct 21
AI Stocks Portfolio Buying and Selling Levels Going Into Market Correction - 11th Oct 21
Stock Market Wall of Worry Meets NFPs - 11th Oct 21
Stock Market Intermediate Correction Continues - 11th Oct 21
China / US Stock Markets Divergence - 10th Oct 21
Can US Save Taiwan From China? Taiwan Strait Naval Battle - PLA vs 7th Fleet War Game Simulation - 10th Oct 21
Gold Price Outlook: The Inflation Chasm Between Europe and the US - 10th Oct 21
US Real Estate ETFs React To Rising Housing Market Mortgage Interest Rates - 10th Oct 21
US China War over Taiwan Simulation 2021, Invasion Forecast - Who Will Win? - 9th Oct 21
When Will the Fed Taper? - 9th Oct 21
Dancing with Ghouls and Ghosts at Alton Towers Scarefest 2021 - 9th Oct 21
Stock Market FOMO Going into Crash Season - 8th Oct 21
Scan Computers - Custom Build PC 6 Months Later, Reliability, Issues, Quality of Tech Support Review - 8th Oct 21
Gold and Silver: Your Financial Main Battle Tanks - 8th Oct 21
How to handle the “Twin Crises” Evergrande and Debt Ceiling Threatening Stocks - 8th Oct 21
Why a Peak in US Home Prices May Be Approaching - 8th Oct 21
Alton Towers Scarefest is BACK! Post Pandemic Frights Begin, What it's Like to Enter Scarefest 2021 - 8th Oct 21
AJ Bell vs II Interactive Investor - Which Platform is Best for Buying US FAANG Stocks UK Investing - 7th Oct 21
Gold: Evergrande Investors' Savior - 7th Oct 21
Here's What Really Sets Interest Rates (Not Central Banks) - 7th Oct 21

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

Warren Buffet on Filling the Government Budget Deficit By Taxing the Wealthy

Politics / Taxes Jan 24, 2012 - 02:34 AM GMT

By: Bloomberg


Best Financial Markets Analysis ArticleBLOOMBERG EXCLUSIVE: Warren Buffett and Rep. Scott Rigell (R-VA) spoke with Bloomberg Television's Betty Liu in Omaha, NE during their first in-person meeting following Rigell's pledge to give 15% of his salary to help pay down the national debt.

Buffett said he would donate 15% of his income if 10% of Congress would, but that donations are ultimately insufficient and "what is effective is changing the law."

Buffett also blames Congress for Mitt Romney's 15% tax rate, saying "it's the wrong policy to have...he's not going to pay more than the law requires, and I don't fault him for that in the least."

Buffett on whether he would donate 15% of his income to the government:

"If you can get a significant percentage of Congress to do that, I would do it. If out of 435 in the House, the additional in the Senate, if 50 of them would do it, I would. 10% of Congress, sure."

Buffett on Mitt Romney's 15% tax rate:

"Exactly what I expected. He makes money the way I do. He makes money by moving around big bucks, not by straining his back and going to work, cleaning the toilets or whatever it may be. He makes it shoving around money. I make it shoving around money. If you look at the 400 highest incomes in the United States, the average is $220 million. Something like 90 of them are effectively unemployed. They have no earned income, and that number has gone up over the years. That will not solve the budget deficit, what I'm talking about. The truth is, I am paying a tax rate less than when I was making $15,000 a year."

Buffett on whether it's wrong of Romney to pay 15%:

"It is the wrong policy. Nothing wrong about him doing that. He will not pay more than the law requires. I do not fault him for that in the least, but i do fault the law that allows him and me, earning enormous sums to pay over all federal taxes at a rate that is about half what the average person in my office pays."

Buffett on the Republican presidential candidates and their tax plans:

"I think Republicans, like Democrats, have trouble breaking ranks, particularly when they're running for election. I do not know what they would do if they got in any way. There is history that shows campaign promises to not end up being law...somebody has to come forth. One way or another, we have to get this down to a place where the average deficit does not run 2% of GDP. That probably involves numbers around 19%, 20% on revenues. Almost everyone agrees on that, they just do not want to be the ones to step forward. I will cheer for the Republican or Independent or Democrat who comes up with a plan like that. You can argue about things around the edges, but then you have something that is workable. What we have now is not workable."

Buffett on whether Romney has better experience than Obama to run the country:

"If you look at the leaders of the past, Roosevelt, Lincoln, the great leaders -- they come from all different backgrounds. What is required is a real belief in what this country can do, and it can do it, and then the ability to garner support which will take support from both sides of the aisle. That will happen. I am optimistic about that happening, but I just hope it would happen quicker than it is happening."

Buffett on whether he sees any validity in Newt Gingrich's recent attacks on Romney:

"Romney did a lot of things in the private sector that are perfectly legitimate. I do not like buying businesses with lots of debt, but there is nothing immoral about it. In some businesses, they hired more people, in others they let people go... I see nothing specific about him. I think his tax rate is too low, but that is the fault of Congress, not his fault."

Buffett on supporting President Obama's millionaires tax:

My general theory is you should have a tax system where those making millions and millions of dollars, who are paying a much lower rate for one reason or another, get moved up to the rate that people think they are paying, in the mid 30's. There are about 80,000 taxpayers within that group paying that lower percentage of taxes. I would move those people up -- one of whom is me and another is Governor Romney. Move them up to the mid 30's where most of the people are.

Rigell on who he endorses:

"I have not...It is helpful to have more business people in Washington. My own preference is to have someone who has had business experience in the White House."

Buffett on Gingrich's recent surge:

"I think Romney hurt himself...losing ground in the past 10 days than Newt gaining. I have watched all the debates, self flagellation here. On both Monday and Thursday, Romney hurt himself. He did not have a good answer on taxes, but it will not be the determining factor on who will be president."

Buffett on whether he wishes that more Congressman would stand up to his challenge:

"Absolutely. Yes, but it's more than that. What I really admire about Scott, he is dedicated to getting a sensible relationship between revenue and expenses in this country. It is a tough issue to face. He and I in the first five minutes found we were within fractions of a point, virtually. We both feel we could tolerate a small gap between the two, but we know we need more revenues and we have to bring down expenses, and we know it has to be believable. And it has to be attacked right now."

Buffett on why it's so difficult to find common ground in Washington:

"Neither side wants to move first. The Democrats do not want to talk about talk about expenditures and the Republicans do not want to talk about revenues. They have their own constituencies, they do not want to break ranks with their own comrades. It is human dynamics, but it has to be done. Scott wants to do it, and he wants to do it now. I join him with that."

Buffett on whether he's trying to bring common ground to Washington with his challenge:

"That was more symbolic. We have a $1.20 trillion deficit. Contributions are not going to make a big difference. I think the American public wants to see a sign of any kind that the members of Congress take this as seriously as they should. It is it is symbolic and it says, we are going to get to work on this. It is not that contributions will amount to anything significant -- but it draws attention to it. The American people want to believe in Congress, but they do not believe in Congress. They see this important issue getting pushed off, each side blaming each other. I do not want to look back at all, I just want to look forward."

Rigell on whether he's disappointed that more members of Congress haven't stepped up to Buffett's challenge:

"We are headed in the right direction, certainly in the Republican conference, and I hope across both sides of the aisle in recognizing that leaders must step up and we must lead by example."

Buffett on expanding his challenge to Wall Street and corporate America:

"I would rather just have a policy change. If I have $1.20 trillion to work on -- it would be nice to do it that way, but how many would do it? The press would focus on who did not do it. I do not see that as a way to get to where we need to be. You would see far more that would not do it than would is more about getting organized. We need to change the law."

Rigell on whether he would agree to tax the wealthy more in order to generate more needed revenue for the government:

"If there were a comprehensive effort that included expenses going down, reduced to the 19%, 20% for me, I think we would have to look at that."

Copyright © 2012 Bloomberg - All Rights Reserved Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.

© 2005-2019 - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.

Post Comment

Only logged in users are allowed to post comments. Register/ Log in