Learning from a disaster

Matthew Taylor from RSA writing in relation to the Japanese disaster (and also the Scottish economy, but that doesn't get mentioned in the following extract)...

It was...fascinating this morning...to hear James Naughtie on the Today Programme describing the issues which some Japanese people hope their country will now face up to in the wake of their unfolding tragedy:
first, how could the Government and the people have a deeper and more honest conversation about the choices facing a country which already had a debt twice the size of GDP even before the crisis.
Second, how could Japan rediscover the entrepreneurial flair which led to it being the world’s economic powerhouse in the seventies and eighties.
Third, how could Japan develop a new and stronger civil society to fill the gaps between big Government, big corporations and individuals?

The idea that Japan could turn this crisis into a national conversation about a new idea of citizenship and society is inspiring. It is also fascinating how recognisable these issues are to us in the UK.

Warren Buffett

"A market economy creates some lopsided payoffs to participants. The right endowment of vocal chords, anatomical structure, physical strength, or mental powers can produce enormous piles of claim checks (stocks, bonds, and other forms of capital) on future national output. Proper selection of ancestors similarly can result in lifetime supplies of such tickets upon birth. If zero real investment returns diverted a bit greater portion of the national output from such stockholders to equally worthy and hardworking citizens lacking jackpot-producing talents, it would seem unlikely to pose such an insult to an equitable world as to risk Divine Intervention."

"How Inflation Swindles the Equity Investor" by Warren E. Buffett, Fortune May 1977