I have been trying to think of a clever way to introduce this little article quoting Warren Buffett, but there is nothing clever to say. One can only lament that such a fear is now a part of the American psyche — and no one seems that alarmed.
In response to a question about the worst possible development for Berkshire Hathaway’s vast insurance operations, Mr. Buffett responded: nationalization.
If inflation jumped and insurance policies became extremely expensive, pressure could rise on the government to nationalize the insurance industry, he said. “When people get outraged, politicians respond,” Mr. Buffett said. It’s highly unlikely that such a development would happen, he added. But he did note the example of Social Security, which is a form of a nationalized annuity.
