Gates takes U.S. financial crisis in stride

Microsoft Chairman Bill Gates appeared on the NBC Nightly News Wednesday speaking with Tom Brokaw about the current economic crisis. Gates wasn't concerned about the state of the U.S. economy in the long run. Historical data would support his longer-term view, but that won't make the current disarray and uncertainty about the economy any less scary for investors riding the daily, nausea-inducing roller coaster.

Brokaw observed that Gates seemed to be cool, or not terribly worried, about the U.S. financial crisis. "The U.S. economy in the long run is going to do very, very well. There are some interesting and meaningful decisions to be made in the next weeks," Gates said. He didn't get into the details about those decisions facing Congress, but legislators and the business community are likely seeking his advice. His good friend Warren Buffett of Berkshire Hathaway is investing around $5 billion in Goldman Sachs, providing a confidence boost to the market.

As for continued technology innovation in light of the economic upheaval, Gates said, "In terms of inventing new medicines or improving software, or new ways of doing things, the level of investment will stay very high." That said, conservation of capital will be in the minds of VCs and start-ups until the economy rights itself.

Earlier in the day, Gates told Bloomberg that problems with the U.S. economy would likely reduce government support for combating the world's problems, such as poverty and disease. "There are the rich-world economies and the developing-world economies and, while the degree to which they are linked is not well understood, when one suffers it can't be good for the other. Rich-world budgets may not have room for increased generosity.''

[Commander_Spock]

Re: "Earlier in the day, Gates told Bloomberg that problems with the U.S. economy would likely reduce government support for combating the world's problems, such as poverty and disease. "There are the rich-world economies and the developing-world economies and, while the degree to which they are linked is not well understood, when one suffers it can't be good for the other. Rich-world budgets may not have room for increased generosity.''.

Does this say very much coming from a "dude" that once headed one of the largest computer software companies in the world; and, a technology company at that! How about "Gates" et al sitting down with the financial and economic analysts from "the rich-world economies and the developing-world economies" and let every one understand what analytical tools are needed to bring lasting solutions (IT) to both " the rich-world economies and the developing-world economies".

Should all the folks on this "Good Greening Earth" be reminded that - "Technology Rules The World"; and, all that is happening with regards to the world's economy has to do with the question of mis-education - It is called "Economics and Engineering 500" (Post-Grad + Experience. ;-)

Live Long And Prosper!

Commander_Spock

[ghosford]

Um, sorry to disappoint, but technology (IT) does not rule the world; food does. Mankind's basic physiological needs must be met, with or without technology. Disrupt technology, and economies will cope; disrupt food or other basic needs, and economies will collapse or revolt.

It is arrogant to assume that we know the sum total of what can happen with an economy. I agree with Gates; based on past history, controls will be put in place, and the economy will rebound (although Gates stands to lose billions in the short term). But there also exists the slight possibility of a disrupting influence that could cause the economy to plummet to a state worse than that during the 1920's.

The above poster has a vision - lasting solutions - which I applaud. But he also has an inflated faith in Technology and Education. I'm not exactly sure what he is saying about "mis-education," but a lot of what is happening right now in the economy is due to greed.

What is happening in the economy today is a logical consequence of the unbridled greed in the housing markets of the past decade or so. Technology and education may have an influence, but moral choices by people at all levels of the economy, whether forced or voluntarily applied, will have a much greater impact.

[Commander_Spock]

Re: "It is arrogant to assume that we know the sum total of what can happen with an economy. I agree with Gates; based on past history, controls will be put in place, and the economy will rebound (although Gates stands to lose billions in the short term). But there also exists the slight possibility of a disrupting influence that could cause the economy to plummet to a state worse than that during the 1920's.
[............................................................................................]

What is happening in the economy today is a logical consequence of the unbridled greed in the housing markets of the past decade or so. Technology and education may have an influence, but moral choices by people at all levels of the economy, whether forced or voluntarily applied, will have a much greater impact." Why not take a quick journey back in time and fathom how countless conflicts (WW1, WW2.... for examples) between mankind living on the face of this planet have brought about changes in the world we are now living in; therefore, the point is that is was "technology" that brought about certain dramatic changes in the ways human being accomplished certain tasks - Let's start with the building of the Pyramids of Egypt.

[Commander_Spock]

Re: "The above poster has a vision - lasting solutions - which I applaud. But he also has an inflated faith in Technology and Education. I'm not exactly sure what he is saying about "mis-education..." Another case in point - "The Concorde Airliner": A simply marvelous piece of development in aviation history (now mothballed). Just where did the economics and engineering management of the Concord's operations (like that of what is happening on Wall street) went wrong; and, that's the "mis-education" (the absence of people with the required skills-set and the required analytical tools) that is being talked about.

Have a nice day.

[joetesta70]

Ummm...I would too. IF I HAD 50 BILLION DOLLARS!

But seriously, Gates does good with all the money he's given to philanthropy.

$teve Job$, the greedy SOB on the other hand hoards it all...he's AWOL on Forbes' list of top philanthropists year after year...

[DrollTroll]

It is not philanthropy if you give 0.00001% of your wealth. Also, it's debatable that his money is doing any good for anybody, especially in the schools which are still failing miserably.

[Commander_Spock]

Re: "It is called "Economics and Engineering 500" (Post-Grad + Experience" So, now let's start talking about the "e_n_g_i_n_e_e_r_i_n_g -- e_c_o_n_o_m_i_e_s" of "the rich-world" and that of "the developing-world" and try to figure out the solutions. One is called - "Project Ranking" and there you have it for starters!

Live Long And Prosper! ;-)

[Commander_Spock]

Re: "Microsoft Chairman Bill Gates appeared on the NBC Nightly News Wednesday speaking with Tom Brokaw about the current economic crisis. Gates wasn't concerned about the state of the U.S. economy in the long run. Historical data would support his longer-term view, but that won't make the current disarray and uncertainty about the economy any less scary for investors riding the daily, nausea-inducing roller coaster...." He is perhaps right not to be "concerned about the state of the U.S. economy in the long run" for after he has 57 billion dollars and that will take a long time to get spent unless he plans to purchase a few "CONCORDES" to start his own airline. Anyway, we are Naval "Economics" SEALS and we are taking the U.S Economy home as we ride out the "roller coaster" waves of the seas around the world. ;-)

[Commander_Spock]

Re: "It's just an old joke if you didn't know about the predictions...." Hey guys, The whole question is this: How are you going to be able to make any "accurate" predictions if you do not "fully understand" the nature of the circumstances (crisis) upon which your predictions are to be based. Additionally, what if the "analytical tools" that you ought to depend on to assist you with your predictions are not existent; then, your guess is as good as mine or anyone else's. ;-)

[Imalittleteapot]

Oh holy crap. Now I am worried. Gates never correctly predicts anything.

[nathan309]

If never correctly predicting anything makes you a billionaire, i want some of that too!

[Imalittleteapot]

Yeah I want some of that too. It's just an old joke if you didn't know about the predictions.

[Commander_Spock]

Re: "It's just an old joke if you didn't know about the predictions...." Hey guys, The whole question is this: How are you going to be able to make any "accurate" predictions if you do not "fully understand" the nature of the circumstances (crisis) upon which your predictions are to be based. Additionally, what if the "analytical tools" that you ought to depend on to assist you with your predictions are none existent; then, your guess is as good as mine or anyone else's. ;-)

[Imalittleteapot]

"what if the "analytical tools" that you ought to depend on to assist you with your predictions are none existent"

Come on, what are you talking about? My Magic 8 ball is in perfect working condition. I'll ask it right now. Are we going to have another great depression like melt down??? *shake*, *shake*, *shake*. Oh, um......Welll. Whooo, well all it says is Ask again later! See, how can you argue with that?

[ogman]

Meanwhile, Mr. Gates lobbied for more H-1B visas, so he could continue filling his overstuffed coffers with the profits of cheap indentured servants. When he didn't get his way, he stomped off and outsourced as many jobs as possible to India and Canada. Yeah, Bill's a *great* guy!

Maybe Gates is just hoping we'll have enough "poverty and disease" here so he won't have to travel so far to practice his *last chance to get into heaven* philanthropy.

[Vegaman_Dan]

MS has been hiring the brightest and most innovative people. You go where those people are. If the local resources of talent aren't up to the task, you go elsewhere. It doesn't make sense to take lower quality talent just to make a few people happy. The solution there is to improve the talent pool locally.

[Laisseraller]

Solution to Paulson's $700 billion bail out plan!


A talk show host claims an Economist Wesberry claims he has a solution to Paulson's $700 billion bail out plan!
http://got700billion.blogspot.com/

http://www.cafepress.com/092308

[Commander_Spock]

Re: "A talk show host claims an Economist Wesberry claims he has a solution to Paulson's $700 billion bail out plan!...." Just how certain are we that $700 trillion is what is really needed (if the United States of America is to adequately continue to feed the world) and not $700 billion? Duh! Remember that if the United States of America sneezes - then the entire world catches a cold....!!!

[HighwayHome]

Since Gates is not worried, then everyone who is in danger of losing their home can breathe a sigh of relief and get some sleep at night. Since he does not walk on the same earth as most, does it really matter what he thinks? He's just trying to calm everyone down, because a panic will have negative consequences on his own personal wealth. That's it - steal and burn and keep everyone calm by sticking some tranquilizers up their a**. Works like a dream.

[jd111358]

Oh now I can rest easy!
A guy with Billions isnt worried............. so people like me should stop worrying?
more and more Regular americans are getting laid off every day
More are losing their homes.
I have a young child with cancer who recieves SS disablity of a big 800 a month which I must now pay tax on, what the hell lets add in some more bail out taxes for me to pay.
So I went from a company that went under (no severance after 13 yrs) to another in another state at 33% less pay. So they havent been able to give me a raise in almost 2 yrs...............and layoff every Oct and some in between....So Im just waiting my turn along with everybody else in the N. American branches of the company while the rest of the branches outside the US rake in huge profits.
So what the company started in the US and the overseas divisions wouldnt exist if it werent for their
efforts. No raises for US- losing money. The rest of the world...you made money its party time!

Great idea lets bailout the companies that mismanaged to the point of going under while the company heads made millions.............
Why should we be worried.................Bill Gates says all is good in the long run.
America is going under in the short term. There may be no long run.
I still remember windows ME too!!!!!!