By Jon Dougherty
If you’re used to reading stories about billionaire investor Warren Buffett, head of Berkshire Hathaway, droning on about his support for Left-wing politicians and causes, prepare to be completely shocked: He just gave a full-on defense of AmericanÂ capitalism, which is really taboo among today’s ‘progressives.’
“If you look at what was here in 1776 and you look at whatâ€™s here now, this country has done an incredible job in terms of the deployment of resources and human ingenuity,â€ Buffett told CNBCâ€™sÂ Becky Quick, in an interview fromÂ Omaha, Nebraska â€” where his firm held its annual shareholders meeting this weekend.
â€œThe idea of people unleashing their potential … itâ€™s absolutely a miracle.â€
Cue our double-take.
Buffett, who did back Hillary Clinton in 2016, wasn’t finished with his full-throated defense of the most successful economic model in the history of Mankind.
â€œIâ€™m a card-carrying capitalist,” he declared on stage before tens of thousands of viewers.
CNBCÂ noted further:
With a rising tide of 2020 presidential candidates â€” including democratic socialistÂ Bernie SandersÂ â€” who are advocating more government control over the economy, Buffett argued onâ€œSquawk Boxâ€Â that compared with countries with central planning at the heart of their economic and political systems, â€œwe win hands downâ€ in the United States. â€œWeâ€™re just getting started with what capitalism can do.â€
â€œDoes that mean that every decision should be made by open market determinants? No, thereâ€™s [a]Â need for regulation,â€ said Buffett.
â€œHuman ingenuity is incredible, and you want something that maximizes its use; and then curbs, on a few of the ideas that some of those people may have to sort of have it for all themselves.â€
We disagree with the ‘need for regulation’ part. And mind you, Buffett, along with Microsoft co-founder and fellow multi-billionaire Bill Gates, with whom Buffett shared the stage, have both called for higher taxes on wealthy Americans to fund social safety nets and pay down the national debt.
And that flies in the face of reality, since ‘the wealthy’ in AmericaÂ already payÂ all of the federal income taxes.
But to hear a renowned Lefty give such a resounding endorsement of our founding economic model is worthy of a double take, indeed.
That said, why does Buffett support Democrats who have become the party of socialism, of big government, of central planning?
- Follow Jon Dougherty on Twitter at @JonDougherty10