Steve Jobs, Warren Buffett, Wealth Creation and Wealth Transfer
Steve Jobs, co-inventor of the personal computer and founder of computer company Apple, died today.
He was the complete entrepreneur in the sense that he had “skin in the game” (Mr. Jobs sold his Volkswagen van to finance the invention of the first personal computer) and a vision to deploy.
The result was not only the Apple I and II but, in his “second” life, iTunes and the iPod and other gadgets. One can argue the value and cultural worth of his products, but they have become an intrinsic part of today’s society and will have an impact for generations.
This is in sharp contrast to another iconic individual in our time, Warren Buffett, who has thrown himself into the public policy discussion of late. Mr. Buffett, a stellar stock picker and investor, has also created wealth within our capitalist system, but unlike Mr. Jobs, indirectly through the flow of capital. Mr. Jobs created wealth outright: not just by aiding the financial environment that allowed capital creation, like Mr. Buffett.
And this might explain that why while Mr. Jobs was thinking of new inventions virtually up to his death, and not fretting over the perceived income and wealth inequalities that supposedly exist, Mr. Buffett threw himself full bore into such debate and offered solutions that would help cure society from ills such as himself. Think of it as preaching abstinence from the bar-stool.
The unfortunate and, one would like to think, unintended consequence of Mr. Buffett’s awakening of the downside of capitalism is that his efforts would effectively limit the possibilities of future Steve Jobs’. Through high taxation and its evil twin sister, over-regulation, an individual with a great invention like Mr. Jobs will have a tough time taking such out of their garage and into the stores.
As the trend is going, the future great industrialists and entrepreneurs will not only have to put forth great ideas but possess the resilience and persistence to fight not just market but government forces.
And let us not even think about the “fair share” that the government will take away from Mr. Jobs via the death tax.
-I.M. Windee
So what you’re saying is: if keeping the American dream alive and healthy is a social priority, then our current capitalistic and unregulated economic system unofficially helmed by Mr. Warren Buffet is working counterproductively to our efforts to prosper as a people.
No, I’m just saying that there are “degrees of pregnacy: some contribute differently. Buffett gives in one way; Jobs in a differnt (but greater) way.
Buffet reminds me of another economic prophet, one we hung on every word and used to genuflect in his presence…His name was … Mr. Alan Greenspan. I wonder when Warren is going to start talking nonesense and with riddelistic enthusiasm that draws consequence to the rich so that the poor can dominate once again…