Rich Snail » Economy

The USSR Superior Production System…

Jacques — Mon, 23 Aug 2010 06:00:10 +0000

During the communist era, an American entrepreneur was invited to the USSR to be shown the examples of the superior production system they had there. He was taken to the largest car plant. After touring the plant he asked the tour guide “who owns this plant?”. “We do” they replied. “Equipment?” “We do”. As he walked outside he pointed to the cars in the car park. “Who owns those shiny cars?” “Well, this one is for the political commissar, the next one is for the communist party secretary of the work force …” “you mean those cars belong to officials only?”

After the visit the American entrepreneur invited his soviet counterpart to visit Detroit to see an American car factory. As the Russian was touring the production line he asked his tour guides “Who owns this factory?” “Henry Ford”. “Who owns the equipment?” “Henry Ford”. And as they came outside, he pointed to the line of cars in the car park. “Who own these cars” “We do” came the reply.

Crashiversary

Jacques — Fri, 13 Nov 2009 03:00:22 +0000

A modern fairy tale…

The Oracle of Omaha’s on the American Economy

Jacques — Tue, 15 Apr 2008 09:34:55 +0000

When markets are tumbling, people usually turns to Oracles. Some will be optimistic, some will be pessimistic, and Warren Buffett will be down to earth. His “Oracle of Omaha’s” nickname comes from his long term success, witty comments and letters, and he lives in Omaha Nebraska.

Mr Buffet gave us another golden nugget of wisdom in a recent Fortune Magazine article What Warren thinks….

The American economy is going to do fine. But it won’t do fine every year and every week and every month. I mean, if you don’t believe that, forget about buying stocks anyway. But it stands to reason. I mean, we get more productive every year, you know. It’s a positive-sum game, long term. And the only way an investor can get killed is by high fees or by trying to outsmart the market.