Warren Buffett calls gambling 'a tax on ignorance'

[peskypup]

I agree with Buffet, not for the first time. Betting is generally a transfer of cash from stupid folk to sharp, intelligent folk.

How many sharp bettors have an IQ less than 100, do you think?

Having said all this, for a country that is supposedly the "land of the free" the USA spends a lot of time wondering what to ban and where to ban it.

 

[TheGeneral+]

<BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR> land of the free <HR></BLOCKQUOTE>

Only if you conform to the ways of the evil doers sitting on the throne.

 

[bulldog77]

I agree with the liberterian view of legalized gambling,cigs, liqour and drugs for that matter.
But, I don't think that extends to ENCOURAGING those vices which as it pertains to gambling they are doing in many states and nations.
Various state governments spend large amounts of money to encourage people to gamble at their casinos and tracks and especially lotteries.
What would be the out-cry if states ran ad campaigns to encourage people to spend their money on booze and tobacco? Governments should allow and regulate victimless vices but not try to feed off of what is usually human weakness. This is the consistent libertarian view to me.

 

[Skyweasel]

<BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Originally posted by Patriot:
Just another left wing elitist trying to <HR></BLOCKQUOTE>

This may be the only forum in the world where someone refers to Warren Buffet as a "left wing elitist"

-Stupid is as stupid does - Forrest Gump

 

[OMNIVOROUS FROG]

Wow great thread. So many tangents that could be their own thread, including is casino gambling the same as sports betting. Pass on that for now. Tax on the ignorant. He is 100% correct. However, this is voluntary, and disguised as entertainment. Unlike our other taxes, which are a form of graft. And there are bigger drains, worst percentage and lower entertainment choices out there, the lotto, powerball with its 50% hold come to mind. Not many casino games have that kind of hold. Maybe Mr. Buffett has shorted the operators, or proposed operators of this gambling proposal. They are publicly traded companies. I made my money in the market and got out. The Mr. Buffetts of the world are just too sharp for me. I picture them all standing around a common investor, in a huge boardroom, having the poor guy throwing darts at the investment dartboard. The schmuck pays a broker for some darts, and advice on where to throw them. The board is 75% losers. Then Mr. Buffett and friends really have some fun, blindfold the investor and spin him around 5 times, so he is not even facing the investment dartboard. They just laugh and laugh, when the investor throws his investment dart out the window. Then they pick him up, blindfolded and all, if he runs out of dart money, and throw him out the window. Open their breifcases, which have lots of notches from previous droppers, and pull out cuban cigars, finest brandy, toast the event and pull out packets of 100's and have a big money fight. Mr. Buffett is like the biggest shark in the legal tank. And whenever he says something, it is in his best interests, in many ways. Best Wishes...OF

 

[Fezzik]

Fascinating thread.

Buffett is clearly correct in his statement, and I believe that legalized gambling is a very bad thing for most communities.

Having said that, I think it is a large violation of personal freedoms to not allow it. Also, the state lottery is one of the greatest ripoffs out there. So, if government can take adv. of the "ignorant" public, isn't the precedent set to allow it in general?

 

[LucaBrasi]

"If you bet on a horse, that's gambling. If you bet you can make three spades, that's gaming. If you bet that IBM will go up three points, that's investing.

See the difference?"

- Blackie Sherrod, Dallas sportswriter

 

[WildBill]

Great comment there about the "difference". Not to mention supposedly the reason why people should be against gambling, as the common thinking goes, is because it goes against the idea of hard work and earning an honest dollar. If that is the case we are a bunch of lazy asses for investing in our 401k and shouldn't even think of retiring until we are at least 75!

 

[areeff]

I would say wild bill's last article has to be the absolute worst aticle written on the RX. Usually there are some bonehead articles that are clearly WRONG. And you can see why the guy is wrong, very clearly. But this article wreaks of someone who wrote it 15 minutes before some sort of deadline trying to crunch irrelevant ideas in. Yes Bill - you are correct. Nascar fans are idiots. We all know that. But what does that have to do with gambling? Unless you are trying to say nascar fans are the same ignorant folk that are gamblers. Which you did not say but is probably true but not stated.

Then there is the audacity to compare the stock market to a casino. It is very loosely a casino played by the rich but it is more like a numerical spy vs spy wargame than a casino.

If you turned this article in to any business teacher, you might get an A for dogmatic anger but it would fail because it lacks factual statements and an understanding of basic economics and capitalism.


Then he follows it up in a post applauding a pedant sportswriter who uses linguistics calling buying a stock "betting" to prove his point. Only simple minds are fooled by obvious, as bill is.

Long term most "investors" are gamblers and long term losers in the market, that is why you get such quotes. From angry wanna be rich guys. The sharp economic elite know that the stock market is a wonderful way to extract money back from wanna bes like Mr. Sherrod.

I don't expect many to agree. Anyone who agrees most likely is lurking on here living in his mansion grinning ear to era.

Most of those that disagree are scraping along paycheck to paycheck pissing away their bankroll on 4 team home dog parlays.

But as they say.. Without a peasant there can be no king. Hopefully such ignorance will continue to pervade the world so that we can maintain our kingly lifestyle.

[This message was edited by areeff on May 08, 2004 at 01:47 AM.]

 

[WildBill]

Sorry to dissapoint you, but I stand by my statements. The stock market is filled with people out gambling. No they aren't rich, but why the double standard? If Warren says he doesn't like taxes on the ignorant, why not clean up the ignorant people in his own backyard? Why go out and take shots at an industry that has no effect on him?

People gamble because for the vast majority it is FUN. Not because it is profitable or leads to many winning days or nights, but because it is an enjoyable diversion. Yes there are a small percentage that can't handle it, but they are vastly outnumbered by the people that will tell you upfront they know they can't win, but they will have fun doing it anyways. Casinos know their job isn't to put out slots or have dealers to deal blackjack but to serve the customer well in return for a payment of expected advantage. Who is Warren Buffett or ANYONE to tell these people that they are ignorant because of how they choose to spend their entertainment dollars??? We all have things we enjoy doing that others may not like, why should someone be subjected to this flat out BS if they happen to enjoy going to the casino? People that go out and take shots at the people like that remind me of the proverbial residents of glass houses.

Warren is a known big fan of baseball. I think there are millions that agree with me in that baseball is a frickin boring sport, but I sure wouldn't call him ignorant for being dumb enough to find enjoyment in it. That is what my point is, not are casinos good for society or is gambling a good thing. No it isn't the most productive activity in the world, but neither are just about any other forms of entertainment. If people in Nebraska approve casinos because they desire to have them, they shouldn't have to hear crap like this for voting with their own personal conscience. The anti-gaming people are flat-out idiots when it comes to this. If you believed them voting for a casino means you want prostitutes roaming your city and you want your kids to grow up dreaming of being in a casino. The way they talk about gamblers and people that allow gambling in their state is an insult and here we go again with a high profile guy insulting us all that enjoy gambling of any kind. And don't kid yourself, you could tell Mr. Buffett that you made millions from gambling over your lifetime and he would still call you an ignorant SOB.

 

[peskypup]

A good point was made about this being a voluntary tax. I think Buffet shows a certain amount of ignorance about betting, and lack of respect for mug bettors.

I make no secret of the fact that I make a few grand a month betting in the evenings and at weekends. Several of my mates are mug bettors and, though I have offered to show them what I do, so far nobody has stopped by in the 3 years I've been doing this.

They expect to lose most weeks, experience has taught them that if nothing else. As long as they keep their losses sensible I don't see the problem, they get some entertainment from it and have a great time when the occasional long shot winner comes in.

They like the sound of the profits I make, but don't like the idea of spending 15 to 20 hours a week studying form, prices and so on. Fair enough.

I have a lot of repect for Buffet and have beaten the market every year since 97 partly using his methods. But I hope I have never, and will never, talk patronisingly about the "ignorance" of mug punters.

As Rumsfeld might say, 99% of them are KNOWING mug punters, Buffet may have missed this.

 

[TheGeneral+]

The Iowa Racing and Gaming Commission has voted to lift the moratorium on new gambling in Iowa. The vote was four to one. The decision clears the way for gambling supporters in Black Hawk County and five other counties in Iowa to apply for gambling licenses. The commission did not specify how many licenses would be issued.

The Iowa Racing and Gaming Commission met in Johnston Thursday. It is the first meeting since the Iowa legislature gave the green light for new casinos. Governor Tom Vilsack signed a bill in April that threw open the door for more gambling. It allows the commission to issue an unlimited number of gambling licenses and allows table games at the state's three race tracks, which now only have slot machines.

People in Waterloo are sounding off about what a casino will do to the city. Some still aren't sold on the idea. Others say a casino is worth the gamble. Janelle Sides is a Waterloo casino supporter and says, "I don't think it's a bad thing to bring in. I think if you gamble, you can gamble. Otherwise people are gonna drive and gamble anywhere they want." Instead of plants and peppers, people are talking slots and jackpots at the farmers market at Crossroads Mall. Many are excited about the Iowa Racing and Gaming Commision's decision. Kimberly Lewis is a Waterloo casino supporter and says, "Everybody's so-called leaving. They just need something like the casino to bring it back to life." Gary Tedore is a Waterloo casino opponent and says, "I think Waterloo's gonna shoot themselves in the foot. They've got too many options and they're gonna end up with nothing."

People in Cedar Rapids voted down gambling last November. Gambling supporters say it's too bad this city is now missing out. Cedar Rapids now has to wait another eight years for a shot at gambling. Jim Cannon led the fight for a casino last year. He thinks people would drive for miles to spend money in Waterloo, "Yeah, it's disappointing we missed out. I mean we did a lot of work for it to try to get it in here. We saw the potential for all the money and the income. Now it's gonna go to Waterloo."

Voters in Black Hawk, Franklin, Palo Alto, Wapello, Webster and Worth counties approved gambling referendums.

November 10th is the earliest day you can send in an application for a gambling license. It's also the deadline set by the commission for new casino applications.

Then, the commission wants a socio-economic impact study done at the end of the year.

It's expected the commission could approve new licenses by this time next year.


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[TheGeneral+]

What Does Expanded Iowa Gambling Mean For Nebraska?