Buffett's latest article, titled, "Pretty Good for Government Work," defends and offers praise to the U.S. government for its efforts aimed at solving the financial crisis. Using his classic down-home charm, Buffett structured the piece as a letter written to Uncle Sam, signed by grateful nephew, Warren.
In the piece, Buffett explains that, while, "often clumsy, even inept," the government's quick thinking and actions during the chaotic closing months of 2008, while controversial, ultimately saved corporate America and U.S. citizens from tumbling in a domino-like fashion.
Specifically, he gives credit to a number of individuals who directed the efforts. Ben Bernanke, Hank Paulson, Tim Geithner, Sheila Bair and George W. Bush are all commended for their courage to take action.The optimistic nature of Buffett's piece is not unusual. Even at the height of the global economic crisis, Buffett maintained his faith in the U.S. economy. This is highlighted in another, op-ed piece penned by the investor, "Buy America. I Am." In his now famous article, Buffett explained that the global economic turmoil was not a signal of doom and gloom but rather a prime investing opportunity. Putting his money where his mouth is, the investor has made a number of purchases since then including the largest purchase in Berkshire Hathaway's (BRK.A) history, Burlington Northern Santa Fe Railroad. This bet, Buffett explained, would benefit Berkshire Hathaway long after he was gone. This is not the first time Buffett has offered up praise for the government's controversial decision to step in and save the financial industry either. As he explained in this week's article and also in the past, Buffett believes that the government's decision to step in and inject hundreds of billions of dollars into the economy was necessary at the time, and saved the U.S. and the rest of the global economy from suffering a far more painful blow. Buffett's gratitude also likely stems from his personal benefits resulting from the government's actions during those bleak times. As he highlights early on in his op-ed piece, his company was included among those dominos on the verge of falling.
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