Warren Buffett wrote a thank you letter to Uncle Sam. Seems he’s one of the few who thinks Team Obama did the right thing bailing out banks, car companies and homeowners. Controversial.
Here’s what we like. The reminder in Buffett’s letter that so many people were so caught up in rising house prices that a bubble formed:
“Delusions, whether about tulips or Internet stocks, produce bubbles. And when bubbles pop, they can generate waves of trouble that hit shores far from their origin. This bubble was a doozy and its pop was felt around the world.”
Bubbles happen in relationships, too. When you’re so drunk on love that you see only the sun, moon and stars in everything he does. Works til midnight every night? A dedicated employee! (or, workaholic). Life of the party, a super-fun drunk? (or, alcoholic). A charming conversationalist who seems so interested in all your friends? (or, pathological flirt and potential adulterer).
We’re not trying to poo poo romance. We love low lights and sweet nothings. But bubbles in relationships, like economies, end badly. And since Uncle Sam won’t be waiting in the wings with a several hundred billion dollar bailout for you and your other, beware of bubbles.