Special topic: Buffett's 2024 shareholders' meeting hit
Special topic: Buffett's 2024 shareholders' meeting hit
Buffett saidRouletteforfunnomoneyRouletteforfunnomoneyHe expects the U. S. government to solve the widening fiscal deficit by raising taxes, rather than reducing spending.
"I think there may be tax increases," he said at Berkshire Hathaway's annual shareholders' meeting in Omaha on Saturday.
They may decide that one day they do not want the fiscal deficit to be so large because it will have some important consequences. So they may not want to reduce expenses, they may decide to take a larger proportion of the assets we own, and we will pay. "
In its latest long-term budget forecast, the Congressional Budget Office (Congressional Budget Office) estimates that by fiscal year 2054, the ratio of federal deficit to gross domestic product (GDP) will rise from 5% in fiscal year 2024.Rouletteforfunnomoney.5% to 8Rouletteforfunnomoney.5%. If the tax cuts introduced in 2017 are extended next year, the US budget deficit will worsen further.
Asked if he was worried about the rapid rise in U.S. government debt, Mr. Buffett said he was worried that the deficit was larger than the size of the Treasury market, which is now close to $27 trillion.
"my most optimistic guess is that US debt will be acceptable for a long time because there are not many other options," he said. He was referring to the dollar as the world's main reserve currency.
Buffett said that while the focus of the market is on what the Fed will do next to combat inflation, there may be more problems with fiscal policy.
"Jay Powell. He is a very smart man, but he has no control over fiscal policy. " He was referring to the chairman of the Federal Reserve.