Warren Buffett

Here is an hour-long interview with Warren Buffett from last Wednesday; it is very worthwhile.

Key points he makes:

• The financial systems needed the bailout
• The American economy is fundamentally sound (not his exact words, but I couldn't resist the chance to once again defend McCain on this: Buffett uses the analogy that the US economy is a world class runner hit by a heart attack)
  
• The bailout should emphasize market prices
• Paulson is the right man for the Treasury job now
• The AIG bailout was necessary and the government got very good terms on it
• There is a reasonable likelihood that the US will profit from the bailout
• Accounting practices should standardize on "mark to market" (where a liquid asset is valued based on the market value instead of hoped-for value or purchase price).
• Obama's tax plan is good: the rich should pay more