As time goes on, I get more and more convinced that the right method in investment is to put fairly large sums into enterprises which one thinks one knows something about and in the management of which one thoroughly believes. It is a mistake to think that one limits one's risk by spreading too much between enterprises about which one knows little and has no reason for special confidence. . . . One's knowledge and experience are definitely limited and there are seldom more than two or three enterprises at any given time in which I personally feel myself entitled to put full confidence.
If, however, a government refrains from regulations and allows matters to take their course, essential commodities soon attain a level of price out of the reach of all but the rich, the worthlessness of the money becomes apparent, and the fraud upon the public can be concealed no longer.
When my information changes, I alter my conclusions. What do you do, sir?
It economics is a method rather than a doctrine, an apparatus of the mind, a technique of thinking which helps its possessor to draw correct conclusions.
All production is for the purpose of ultimately satisfying a consumer.
When the accumulation of wealth is no longer of high social importance, there will be great changes in the code of morals. We shall be able to rid ourselves of many of the pseudo-moral principles which have hag-ridden us for two hundred years, by which we have exulted some of the most distasteful of human qualities into the highest virtues.
Investing is an activity of forecasting the yield over the life of the asset; speculation is the activity of forecasting the psychology of the market.
The important thing for Government is not to do things which individuals are doing already, and to do them a little better or a little worse; but to do those things which at present are not done at all.
Once doubt begins it spreads rapidly.
If farming were to be organised like the stock market, a farmer would sell his farm in the morning when it was raining, only to buy it back in the afternoon when the sun came out.
When the final result is expected to be a compromise, it is often prudent to start from an extreme position.
Ideas shape the course of history.
There is nothing so disastrous as a rational investment policy in an irrational world.
Capitalism is the astounding belief that the most wickedest of men will do the most wickedest of things for the greatest good of everyone.
The central principle of investment is to go contrary to the general opinion, on the grounds that if everyone agreed about its merits, the investment is inevitably too dear and therefore unattractive.
Government machinery has been described as a marvelous labor saving device which enables ten men to do the work of one.
The key to selecting the winner isn't choosing the face you think is the most beautiful but rather the face other people will pick
The boom, not the slump, is the right time for austerity at the Treasury.
It is the duty of the long-term investor to endure great losses with equanimity.
It is a good thing to make mistakes so long as you're found out quickly.
The love of money as a possession-as distinguished from the love of money as a means to the enjoyments and realities of life-will be recognized for what it is, a somewhat disgusting morbidity, one of those semi-criminal, semi-pathological propensities which one hands over with a shudder to the specialists in mental disease
The difficulty lies, not in the new ideas, but in escaping the old ones, which ramify, for those brought up as most of us have been, into every corner of our minds.
Whenever you save five shillings you put a man out of work for a day.
The engine which drives enterprise is not thrift, but profit.
It is astonishing what foolish things one can temporarily believe if one thinks too long alone, particularly in economics.
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