Monday, May 2, 2011

Buffet and Welch on Stuff

Okay, Warren Buffet and Jack Welch are talking on CNBC.  Here is what I have gleamed from their conversation:

 

1.       The death of Osama Ben Laden will offer a temporary euphoria to the U.S. economy, and a boost to Obama’s popularity

2.       The increase in the price of gas sucked over $100 Billion out of the U.S. economy in the first 3 months of this year

3.       Changing the tax benefits oil companies get for drilling at this point would increase the cost of  oil and gas at  the pump

4.       In order to lower our dependence on foreign oil we need innovation like Jobs and Gates brought to computers

5.       The economy and employment are not likely to boom unless home construction recovers fully

 

The $100 billion dollars really caught my attention.  That’s $100 billion dollars consumers and companies spent on the increased price of gasoline that they didn’t spend on goods and services. 

 

I’m no economic guru, but that can’t be a good thing.

 

John Broussard

Assistant State Treasurer

Chief Investment Officer

State of Louisiana

Department of the Treasury

Ph:  225-342-0013

Fx:  225-342-9721

Email:  jbroussard@treasusry.state.la.us

 

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