hawk wrote :
you take away the wrong lesson.......that Buffet can get the terms that he is getting simply because he has cash and no one else does should scare the hell out of you. Only in a depression does Buffet get these terms. We are in it....that is what this story says.
i should have put some kind of emoticon into my post .
my assumption is that there will will be a downward trend - perhaps even severely - for another 2-3 years .
but buffet has seldom been wrong i believe . so an 8-10 year timespan to wait for a recovery doesn't seem overly long for him - though he may not live that long .
i suggest that a recovery won't start until consumers are actually "in need of" merchandise . currently there seems to be an overabundance of goods in the stores , (most) consumers have all the goods they need - except those needed for daily living : , food , fuel etc. - and they are "spent out" .
so until such time that consumers really need a new TV , living room , car etc
the market will likely not recover .
this is going to be very painful for many people , but i can't see that we can continue encouraging consumers to buy another TV , video game , car etc just because "you deserve it" as the retailers and banks want (or wanted) us to believe .
it's somewhat like going from "pigging out" to a "starvation diet " - painful but probably unavoidable .
it's like doctors who tell the overweight : "fad diets don't work - you have to change your lifestyle " .
sorry for not being more cheerful .