Buffett says recession may be worse than feared

[devilgrrl]

Buffett says recession may be worse than feared

By Jonathan Stempel Mon Apr 28, 11:09 AM ET

NEW YORK (Reuters) - Warren Buffett, the world's richest person, said on Monday the U.S. economy is in a recession that will be more severe than most people expect.

Buffett made his comments on CNBC television after his Berkshire Hathaway Inc (BRKa.N) (BRKb.N) agreed to invest $6.5 billion in the takeover of chewing gum maker Wm Wrigley Jr Co (WWY.N) by Mars Inc in a $23 billion transaction.

"This is not a field of specialty for me, but my general feeling is that the recession will be longer and deeper than most people think," Buffett said. "This will not be short and shallow.

"I think consumers are feeling gas and food prices," he added, "and not feeling they've got a lot of money for other things."

He was not immediately available for further comment. Known for his frugality, the 77-year-old Buffett has lived in the same 10-room Omaha, Nebraska, house for a half-century, despite being worth an estimated $62 billion.

On Wednesday, the U.S. Commerce Department is expected to say how fast the economy grew in the first quarter. Economists on average have projected that gross domestic product grew at an annualized 0.2 percent rate in the quarter.

http://news.yahoo.com/s/nm/20080428/bs_nm/buffett_recession_dc_1



Are you better off now than you were in 2000?

[dysfunctional press]

1. actually, yes.

my wife and i are much better off now than we were in 2000.
no comparison.

[devilgrrl]

8. I would think that you would be now that surveillance is a booming business.

You must be happier than Jeff Gannon in a submarine.

http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=389&topic_id=2277337&mesg_id=2278797

[dysfunctional press]

11. ???? it may be, but it's not my business. never was.

:eyes:

i retired 9 years ago when i was 38.

we're better off because we cashed out of our chicago two-flat after 10 years with an over 300% profit just before/as the bubble burst.

we now own a little over an acre in a more rural setting, with money to remodel and indulge ourselves a bit, and still have a nice cushion to fall back on.

for the first time in awhile, i can actually say that life is good not bad.

and thanks for your concern...:hi: it's always nice to know that someone cares.

[Rabrrrrrr]

2. And if Buffet says it, I'm willing to listen.

Pretty rare for him to be wrong about something.

But then again, with this administration it doesn't take a rocket scientist to know what's going to happen - one need only assume they're lying, and then adjust for that.

If the Bushies say it's gonna be a year, it'll be five. If they say it's gonna be bad, it's gonna be awful nasty bad.

And so forth.

[Rex]

3. Inflation, stagnation and agitation all haunt our economy.

Throw in some drought and famine, mix with some war, some civil, some not, add a pinch of overconfidence and way too much hubris. Sad times ahead. Glad I'm poor. It is gonna suck for the upper middle class. Whatever that used to be.

[But....]

5. The middle suffers...

the top 1% ask what recession?:puke:

[Rex]

10. Yep.

There is no such thing as conservation to the top 1%. They don't drive or fix their own food OR worry about medical coverage.

[atjrpsych]

15. the top 1% think that the rest of the country isn't working hard enough

I heard it from my own brother who is actually supporting Obama. He doesn't see the recession, since it isn't affecting him at all at this point. He is a successful financial consultant and his business continues to grow...But what i hate about it is that he doesn't recognize that much of his circumstances are due to luck and many of the contacts in his life, instead he thinks it is all due to his hard work.
Maybe I see it differently since I work with patients everyday, and tend to hear their woes as well as their successes. So many people are struggling right now with their economic situation which has such a significant impact on quality of life. Even though times are tougher, I am still grateful for what I have and feel compassion for those who are not as fortunate at that moment.

[But....]

16. They always use that exuse...

yes hard work is important, but only rarely is it rewarded to that level without other factors. Keep your eyes and heart open.O8)

[Clear Blue Sky]

4. This is Bush's legacy to his successor.

Lousy economy and a war. Which ever of the lucky 3 to inherit this mess is, they may be a one termer as these messes may boil over on their watch.

[spanone]

6. junior says we ain't even in one of them recessions

[aint_no_life_nowhere]

14. We're just turning the corner

like we are in Iraq.

[Jim__]

7. And Buffett is usually right! - n/t

[newmajority]

9. If Warren Buffett is worried about losing money, the rest of us should be scared shitless

:scared:

[CBGLuthier]

12. Well he must think we can still afford chewing gum

Backing those bastard Mars people in their takeover of Wrigley.

[El Pinko]

13. This goes without saying. Most people were drowning in debt during the 2003-2006 "boom"

If they needed to borrow like mad during a "boom" when inflation was supposedly under control, it stands to reason that runaway inflation, an end to easy credit and continued stagnant wages would be a recipe for economic disaster.

[Cerridwen]

17. Kick. n/t