Warren Buffett said it right: There's no shortage of money...

in #finance8 years ago

When people tell you there's not enough money for something, refer them to Warren Buffett's most recent letter to Berkshire Hathaway shareholders:

"Both American corporations and private investors are today awash in funds looking to be sensibly deployed. I’m not aware of any enticing project that in recent years has died for lack of capital. Which, of course, is the whole point: its not the lack of capital, it's the lack of IRR-worthy projects presented to corporate CFOs and Treasurers, who instead of investing in long-term growth focus on the immediate gratification for shareholders and management at the expense of newly incurred debt."

This is important to remember when people say that there's not enough money for education, or healthcare, or the arts. The money exists, it is just a matter of assembling the right package and investment to attract funding. Part of this includes getting rid of subsidies or over-regulation that may inhibit the creation of such attractive investments.

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