Warren Buffet’s Life Advice Will Change Your Future (MUST WATCH)

seventy years ago I was in high school
almost a third as long as the country
has been around and when I was in high
school I really only had two things on
my mind
girls and cars and and I wasn’t doing
very well with girls so we’ll talk about
cars but let’s just imagine that when we
finished I’m gonna let each one of you
pick out the car of your choice sounds
good doesn’t it
pick it out any color you name it it’ll
be tied up with a bow and it’ll be at
your house tomorrow and you say well
what’s the catch and the catch is that
it’s the only car you’re going to get in
your lifetime now what are you going to
do knowing that that’s the only car
you’re ever going to have and you love
that car you’re going to take care of it
like you cannot believe
now what I like to suggest you’re not
going to get only one car in your
lifetime but you got to get one body in
one mind and that’s all you’re going to
get and that body of mine feels terrific
now but it has to last you a lifetime
it’s the important thing is to decide
what is to be able to define which ones
you can come to an intelligent decision
on and which ones are beyond your
capacity to evaluate you don’t have to
be right about thousands and thousands
of thousands of companies you only have
to be right about a company couple I met
bill gates on July 5th 1991 we arrived
Seattle and Bill said you’ve got to have
a computer and I said why and he said
well he said you can do your income tax
on it I said I don’t have any income
Berkshire doesn’t pay a dividend yeah he
said well you can keep track of your
portfolio I said I only have one stock I
said I did I mean he says it’s gonna
change everything and I said well will
it change whether people chew gum and he
said well probably not and I said what
will change what kind of gum they’d show
and I said well then I’ll stick a
chewing gum and you stick to computers
how bad I don’t have to understand all
kinds of but there’s all kinds of
business I don’t understand but there’s
thousands of opportunities there I
didn’t understand the Bank of America
you know and and I’ll be able to do that
I’m able to understand some given
percentage but Ted Williams wrote a book
called the science of hitting and in
science of hitting he’s got a diagram it
shows him at the plate and he’s got the
strike zone divided in the seventy-seven
squares each the size of a baseball and
he says if I only swing it pitches in my
sweet zone which he shows there and he
has what his batting average would be
which is 400 if he had to swing at low
outside pitches but still in the in the
strike zone
his average would be 230 he said the
most important thing in hitting is
waiting for the right pitch now he was
at a disadvantage because if the count
was oh and two or one and two or so on
even if that ball was down where he was
only going about 230 he had to swing at
it in investing
there’s no called strikes people can
throw Microsoft that man you know you
name it any any stock General Motors
and I don’t have to swing and nobody’s
gonna call me out on call strikes I
only get a strike called if I swing at a
pitch and miss so I can wait there and
look at thousands of companies day after
day and only when I see something I
understand and when I like the price of
which is selling then if I swing if I if
I had it fine if I miss it that’s it’s
it’s a strike but it’s an enormous ly
advantageous game and it’s a terrible
mistake to think you have to have an
opinion on everything you only have to
have an opinion on a few things in fact
I’ve told students if when they got out
of school they got a punch card with 20
punches on it and that’s all the
investment decisions they got to make in
their entire life they would get very
rich because they would think very hard
about each one and you don’t need 20
right decisions to get very rich you
know four or five will probably do it
over time so I don’t worry too much
about the things I don’t understand it
if you understand some of these
businesses that are coming along and can
spot things on if you can spot on Amazon
for example I mean it’s a tremendous
accomplishment what Jeff Bezos has done
and I tip my hat to me is a wonderful
businessman he’s a good guy too but
could I have anticipated that he would
be the success and ten others wouldn’t
be I’m not good enough to do that but I
don’t fortunately I don’t have to you
know I don’t have to form an opinion on
on Amazon and I did I did form an
opinion on the Bank of America and I
form an opinion on coca-cola
I mean coca-cola has been around since
1886 there’s 1.8 billion
1.8 billion 8 ounce servings of
coca-cola products sold every day now if
you take one penny and get one penny
extra that’s 18 million dollars a day
and 18 million times 365 is 7 billion 3
less 730 billion or 6 billion 570
million dollars so annually 6 billion
570 million dollars from one penny do
you think coca-cola is worth a penny
more than you know Jo’s Cola I think so
so you know and I’ve got about 127 years
of history indicated so those are the
kind
citizens I like to make and you may have
an entirely different field of expertise
then I would have and probably much more
up to date in terms of the kind of
businesses that we’re seeing about and
you can get very rich if you just
understand a few of them and understand
their future what is it that you to
share what makes this friendship so
satisfying for both of you well I think
we both certainly share a curiosity
about the world and we come from two
different but related worlds so we had
probably spent about 10 hours of this
one-hour visit that bill was scheduled
on July 5th 1991 his mother had to talk
attend to it and we weren’t halfway I
mean we’ve got no place in terms of our
eventual agenda just in that time in
fact the governor of Washington came by
and bills that had to come into the
bedroom well we have fun to start with I
mean that every relationship should have
a lot of fun in it and and we we find
the world in just such an interesting
place so we like to compare notes on it
when we compare notes we have a lot of
fun doing it part of the time as I
remember the conversation by the way
there’s a remarkable documentary about
Lauren which is on HBO I think it
premieres on Monday 30th on Monday you
should take time to take a look at it
bills involved in that and and you will
see in a sense its call I think becoming
more Buffett yeah that’s what it’s
called because so be 86 years you’re
doing well on it though well so far yeah
that’s yet to come
yeah one of the things that happened in
I bill was it I guess your dad at the
dinner said you know what does it use
what’s been the most important quality
for you and you found out that you and
Warren had the same word yeah I think
curiosity which Warren mentioned is a an
amazing thing where you try and predict
what’s going to happen and then when it
doesn’t you sort of think well you know
that drug didn’t get invented that stock
could go up that approach wasn’t popular
what’s what is it about my model of the
world that’s wrong
you know who could I talk to what could
I read and and the things that have
happened since 1991 mostly good things
have been amazing and just you know so
much fun to talk about you know so you
know it we read the news and we think
god what did warren think about that you
both are readers you both you read all
time all day warren bill you’re a reader
you also do a lot of sort of courses
online as well what does that have done
what is that done for your life a sense
of constantly learning
well glad bill it’s an incredible time
to be a learner I remember when I was
young and I had the World Book which is
one of Warren’s products and it was very
good but yeah I always felt like god I
want to get into this more depth I
wonder if kind of better today the
videos that are online and the courses
that you can buy with the very best
professors it’s phenomenal
you know take a subject like weather or
climate change or what’s going on in
economics what’s known what’s not known
now with the foundation a lot of what I
need to learn it’s about biology making
vaccines and what’s going on with these
these various diseases this is a
phenomenal time to be a curious person
the information that’s out there you
know I my my biggest problem is that I
stay up too late because I’m reading and
then I’m a little bit tired the next day
the other thing that you share other
than reading is optimism you believe in
America absolument you know you have
said to me more than once I would give
up a year of my life just to know what
the next fifty is gonna be like yeah
why’d you pick for number that came to
me fascinating what’s happened just in
my lifetime
you know 86 years I I should mention one
thing about reading it was at the
library here at Columbia which I spent
probably more time than any other
student
I lived there practically but and I
pulled the book out there happen to be
who’s in America and it told me
something about my professor Benjamin
where I am and then I looked up and I
went to the library and I said I want to
look more learn more about this because
I learned this over here that changed my
whole life you know
we owned I go now because of that
library and directing me there’s some
other book and then following through on
that it’s the chance I I read about
one-fifth the pace the bill does but I
still spend five or six hours a day
reading I mean it just you can learn so
much I particularly loved biography just
you know to be able to live the lives of
these people have been extorted seem so
extraordinary the lessons and those you
know the discouragements they face just
everything about it so I did you can’t
get enough of reading what surprised you
most about bill that’s an interesting
question I guess what really surprised
me initially we just found so many
things to connect on he did try to sell
me a computer that way that’s probably
the only sale he didn’t make all that
computer changed my life for the better
in a big way subsequently but well he he
just had the same curiosity and the
other word you have used his focus well
the focus there’s no question if I mean
he both of us got to where we are in a
big big way because of focus and Bill
what surprised you about Lauren I was so
amazed that he comes to investing with
this broad model of the world so one of
the first questions he asked me was a
Microsoft’s a small company IBM says
company why can you do better why can’t
they
beat you at the software game airplane
and I always you know you know every day
I was thinking about okay what advantage
do we have what do we do but nobody ever
asked me that question and we talked
about the economics of software which is
a very different and special thing and
he could relate it to things that he’d
seen and you know I didn’t understand
banking why some get ahead and some
don’t and so he was able to put that in
very clear terms and so I I found
somebody whose model was rich enough
that it helped me understand things that
I really wanted to know and we could
laugh about things that were surprised
to us I’d say his humility in this sense
of humor really stood out in this
incredible way I mean he enjoys what he
does and he shares that with other
people and even you know when I ask
questions that are pretty naive that
he’s probably been asked 15 times he’s
very nice about well it took me a long
time to figure this out bill but here’s
how it works
I tried bill out with some
non-transitive dice and I’d read about
him in Scientific American or some
places there were only two people in the
world in the history of these dice that
actually figured it out while I was
trying to take their money from them and
one was the leading symbolical audition
in the world and the other was a drunk
who didn’t really know any better
that’s the one question but bill said
wait a second you choose first and the
game was over and you taught him not you
didn’t teach him but you brought him
into a great appreciation of bridge yeah
he played bridge but the family is very
big on games his family was very very
big on games and and and so we we played
bridge together and we played in China
going down rivers we’re supposed to be
looking at the scene we had a good time
yeah all right we’ve got a lot of
questions won’t talk from the audience
somebody we want to start up ending up
in the balcony so we so you know we
haven’t forgotten you it’s hard to see
but is there a number there that has a
question okay start it wherever it is
thank both of you guys for being here
today my question is in regards to
public health and vaccinations given our
current private presidents publicly
stated stance against the use of action
Nations both in this country and abroad
how would you recommend that we as
students and future leaders in health
sciences best allocate our resources to
most effectively resist his alternative
fact political philosophy in regards to
domestic and global public health thank
you but bill that’s a good place to
start yeah well the facts about vaccines
are very clear and very strong which is
both that they’re safe and that the
vaccine schedule has been designed to
reduce disease and you know the more
parents that adhere to it
the more not only their children be
protected but you have some kids who are
immune deficient so unless the kids
around them are protected then it puts
those kids at risk and there are
diseases like measles or pertussis that
all it takes is a small cluster and then
mostly those diseases would be coming in
from overseas but you can get infection
in in some European countries you’ve had
deaths because the kids weren’t
vaccinated I don’t think the US
government is going to come out with any
negative statements there may be a
commission and fortunately if you look
at the facts the facts are quite
unequivocal we certainly are speaking
out in favor of vaccines so I I you know
I’m a little surprised that we have to
stick up for them but it’s true in every
country that you get these rumors and
particularly in today’s media those
rumors can get out and ahead of the
facts because the rumors are sort of
more salacious or you know contrary to
what you’ve been told type things here
I’m sure we’ll have a chance if
necessary to go through the facts again
and and get a clear positive message
from the government and the risk is if
vaccines somehow people are scared of
having vaccines the risk is well there
we’re engaged right now in polio
eradication and the only way that
succeeds is to get 95% of the kids to
have these vaccines and there we found
we ran into a form of anti vaccine
sentiment that even worse than us rumors
and that is that two terrorist groups
one in Nigeria Boko Haram and another
one in Pakistan Afghanistan Natale bond
said that vaccination was a u.s. plot
and you know would sterilize women and
it was a very bad thing and they took
the women who are going out to the
children’s houses and giving these oral
drops oral polio vaccine and actually
killed a number of them and so those
negative rumors the only reason we still
have polio today that were not done is
because of that part of Nigeria that
Bokke roms caused unrest in the border
areas including Baluchistan in Pakistan
where there have been these anti vaccine
sentiments so you know our risk is is
simply those negative things so it’s not
just in rich countries that we run into
this it absolutely is
causes deaths if parents don’t know
bring your kids in and get them fully
vaccinated and your drive to eradicate
polio is to show that you can’t do it
well it’ll be it started in 1988 when it
already had been eradicated in the
Americas so these were the for the u.s.
in the 60s the rest of the Americas and
the 70s showed that it could be done and
so in 1988 well before our foundation
was involved rotary and a number of
other organizations said let’s get rid
of this and it’s been harder than what’s
expected just because of these these
sentiments you know here we are in 2016
a 17 last year less than 50 cases so we
are very very close in fact there are so
few cases now the way that we track
where the virus is is we go and look at
sewage samples and we see because a lot
of kids get infected and pass along
without getting paralyzed and so it’s
only through the sewage samples we know
that there’s still about four places in
Pakistan and Afghanistan and and one
place in Nigeria that we we have gotten
there yet all right let’s see the next
question I got to see a car number one
thank you both so much for being here my
question again sorry is a little bit on
the political spectrum I was wondering
what you’re both most hopeful about in
this new political environments we have
and also what you’re both most worried
about you want to take hope of worried
more well I’m I’m confident there
America will move ahead it’s been no the
time I was born until now the real GDP
per capita this country was one of six
for one I mean nobody ever dreamt that
would be possible and when you look at
what’s happened in this country over two
hundred and forty years you know it’s an
absolute miracle when I went to come be
a business school September 1951 woman
in the class I mean that this country
moves forward and you can’t stop it so
I’m enormous Lee I say the luckiest
person or in the history of the world
was the baby being born today in this
country and we will go and you know
everybody half the country always is
going to be able to somewhat unhappy
close to half about the last election
but I grew up in a household in the late
1930s my dad was very Republican my
sisters and I didn’t get dessert unless
we said something bad about Roosevelt I
mean it was just it was required and I
heard all these apocalyptic views about
after his third term don’t be no more
elections I’ve been hearing that all my
life and you know year after year after
year with occasional hiccups and and an
occasional seizure like we got in 2008
at nine but this country
it’s all profit folks I mean you know
when I came in just thinking what it
would’ve been like in 1776 nothing here
and now we’ve been the velocity of
change oh yes moving I mean guys like
Bill you know they don’t quit you know I
mean he he moves on to something like
polio he mentions 50 cases in the world
there were more than 50 in the ward
where I went when I was a teenager to
see a friend of my sisters
and they’re all in these rocking
machines and everything they were
destined to a terrible terrible life and
it was just one ward in Omaha and and
now that’s you know that’s the yearly
total thanks
initially the as well as currently
dubrow tourism but people kept working
out this world moves forward and it’s
been doing I bought my first stock when
I was 11 in April in 1942 the Dow was
100 you haven’t looked it’s 20,000
something good must have happened and
it’s gonna keep happening folks bill I
know you fear the optimism what about
concerns
well the optimism is partly that I think
American innovation is strong you know
support for research is by and large
bipartisan and so there its health
breakthroughs or even energy
breakthroughs I think you know every
year that goes by we’re going to have
more of those things now this
administration is new enough we don’t
know how their budget priorities will
come out you know there are things like
foreign aid which is a small part of the
budget about 30 billion a year but that
means the u.s. is the biggest that every
time there’s new leadership we have to
go in and articulate the benefits it’s
well spent it’s not the image that
people have in the past and so right now
I think there’s a lot of intensity to
make sure we get that message out and
get both in terms of the executive
branch and the Congress to maintain
amazing things like the president’s
malaria initiative or PEPFAR which is an
HIV thing these things started under
President Bush and so our foundations
had a great working relationship with
Democratic and Republican
administrations most people wouldn’t
realize that US foreign aid as a
percentage of the economy which is
generally how its measured reached its
low point in 1999 under the Clinton
administration out I’m not saying as the
administration it was a mix of the
administration the Congress then during
those Bush years it went up fairly
substantially now the economy helped
with that but these initiatives were
really amazing and you know I’m hopeful
that maintaining or even growing these
initiatives will be a priority when
there’s a lot of talk about tax cuts and
different spending activities and so it
is a bit up in the air during these
months ahead and you’ve often made the
point that no matter how big the private
contributions are sometimes in terms of
tiers sheer scale you need a government
yeah somebody asked me Bob today
you know if PEPFAR which is this aids
program was cancelled when private
philanthropy make up for
well pEPFAR’s over five dylaney or that
is this one aid program which is a
phenomenal thing that’s saved over ten
million lives that’s larger than our
foundation which is the largest in the
world so there’s no possibility the
government sector US UK other European
donors that’s a hundred and thirty
billion dollars here in coal that’s
uplifting these poor countries in health
and education and if we lose the
consensus around that if people draw
inward too much the we will hurt
progress and there will be millions of
lives lost because of it all right one
thing that might be mentioned charlie is
that the difference between now and
sixty or seventy years ago in the
ability of really bright people really
innovative really energetic people to
get financed to do things is it’s just
dramatically better than than it was at
that time so now if you’ve got good
ideas and there’s good ideas right in
this crowd and you’ve got energy it’s
far easier to get financed to move
forward those ideas then you couldn’t
fifty or sixty years is that because of
the internet or crowdsourcing of what is
it just lots more capital now and people
more optimistic about people were very
optimistic but better ways to connect
the town and the capital and absolutely
it’s dramatic willingness to take risk
you know the first venture capital stuff
is in the 1960s and it’s tiny Microsoft
when we were taking outside investment
we took a
and evaluates from twenty million
dollars we took a million dollars for 5%
of the company
I’ll do it retroactively you had your
chance you had your win we we we never
spent the money that is our business was
profitable enough we really didn’t need
to do that but we wanted people on our
board to give us advice and there’s an
episode of Silicon Valley where all
these venture capitalists are are
courting this guy and that really
reminded me of what it was like by that
time which was 1984 there were dozens of
venture capitalists and that’s something
that other countries have tried to
duplicate they have in small part but
not nearly as well this this willingness
to take risk I did that if you have a
failure it’s not a mark of shame that
hey what’s your next startup gonna be
you heard the secret folks he gets his
ideas from Silicon Valley be sure yeah
all right cards let’s see where the
cards are okay number three take the
cart right there this talked about how
you’d able to make a model and it won’t
accurately predict what happens and on
the other side of the coin I was
wondering what happens when you create
such well-developed predictive
technology and what are the
ramifications and implications of that
outcome well I don’t think our
predictive technology you know it’s
gonna be like an Oracle warrants
nickname is the Oracle of Omaha but you
know the the percentage of times you’ve
converted things like macroeconomics
because they involve emotional sentiment
you know we’re a long ways away from
that the biggest modeling thing I’m
involved in is a group that models
diseases so we look at HIV or
tuberculosis and understand okay what do
we have to do in terms of diagnosis and
drugs to get these things down once we
finish polio will go on and our next big
challenge which will take decades but I
expect will be done in my lifetime is
malaria eradication so these models
aren’t nearly at the point where they
can take human sentiment into
consideration you know the field of
economics a very basic question about
what we should have done differently
before the financial crisis there really
is no consensus whether it’s with the
public or inside the profession of
economists they agree that some of the
emergency treatment we did was necessary
and important and you know I wish that
was was better understood but the in
terms of the root causes it’s actually a
little disconcerting how little our
models are understanding explain how
that imbalance got so extreme all right
well number two didn’t you in school
here at Columbia and I wanted to ask you
were talking about that you love reading
I wanted to ask you if you have a
particular book that it changed your
life like the way you think about things
and I also wanted to ask um what is the
thing that you I’m admire the most about
each other
I do bill about Warren and the other way
around thank you they sort of touched on
the on the second question but going to
me when I add to it books though first
changed your life well a book did change
my life and it was a bio fellow who
taught here at Columbia and that
Benjamin Graham and I read the book when
I was 19
called the intelligent investor and I I
had been interested in investments since
I was maybe seven or eight but I never
and I’d read every book in the public
home all public library but why do you
think you were interested in investing
because I was too dumb to get interested
in for my dad my dad had a very small
investment firm and I was just gonna
read all the books that he had there
waiting to go to lunch or whatever it
might be and then I went over the public
library in front of all and and it just
was a fascinating subject to me and and
but I didn’t have any I I knew but
everybody thought all of that at an
early age but what Graham wrote made
sense I just happen to pick that book up
at a bookstore in Lincoln Nebraska but
but to investing per se did is there
something about your core competence
that made investing the perfect place
for you to be yeah I mean I looked it
was a question of zeroing out all the
other in competencies I was left with
one thing I was actually wired in a way
that was this would be something I would
be good at what so what wired in what
way I I can’t tell you precisely but I
I’ve got the right temperament for it
which is more important than IQ if
you’ve got more than 120 points of IQ so
sell the rest of it somebody else you
don’t need it investments but you do
need the right temperament you do it you
do have to be able to think for yourself
and getting back to you know the earlier
question the first question I asked
myself when I look at the businesses you
know is it important and easy what I
couldn’t determine about this business
and a lot of them don’t make it now bill
is looking for hard questions that that
plagued society and where intellect and
money may make a difference they may not
for a while and but he’s taking on the
tough things I take my job is to find
easy things I’m looking for one-foot
bars to step over you know rather than
8-foot bars to jump over okay and but
that’s not irrational if you’re if
you’re looking at the investment
universe but reading is key it on the
biography on the on the book thing I
know I will tell you a wonderful book to
read I can tell you a number of
intelligent mr. wood obviously if you’re
in the investment field but Katherine
Graham’s autobiography
there’s a Marvel smoking that’s
absolutely honest told by a incredible
woman who had an incredible life and
then wrote honestly but and and someone
who you knew very well and interested
with and and she was a bit reluctant and
had to be assured yeah you know that she
was afraid of me actually look what
makes that book so much it just it is
such a broad range of human experience
honestly told I mean you couldn’t have a
nobody in Hollywood could write up you
know a scenario that she lived through
and and just just see that world develop
how she reacted to it every night you
can learn so much my partner Charlie
Munger just loves Ben Franklin you know
I mean he I mean you know it you can
learn from other people and and their
mistakes and and I find me a biography
was my favorite part of the reason you
love biographies Barney part of the
reason you love biographies where is a
card right here just come here I’m
having a hard time seeing the card so
that right here she where the hands are
raised I’m a senior here at the college
I’m also getting them scholar my family
over here I’d like to ask so what both
of you doing Ross a lot of risk and
sometimes you have to face the fear of
failure with that risk so I’m asking how
did you overcome that fear and what
steps did you take to do that well I
think I was very lucky that when I was
in high school the computer was brought
in there and I developed a fascination
for it and became kind of fanatical
about it
so that you know I didn’t view it as
risky I viewed it as this kind of fun
hobby even when I went to college which
I didn’t finish but I spent time up in
Cambridge Massachusetts the I wasn’t
sure that would be my life’s work now as
the chip came along and made it
mainstream
it became very obvious that something
dramatic was going to happen and so my
my passion my hobby and the area I could
start this company right at the
beginning of the the revolution that
coincided in a nice way and I never felt
it was risky I you know if Microsoft had
failed I didn’t have kids or anything I
could go back to school and you know
finish my degree and you know go get a
job somewhere
I was very risk-averse in in running the
company I always made sure we had enough
money in the bank to pay everybody for
at least a year if nobody paid us at all
because this idea I was hiring people
who had kids and families and they were
moving to work there and here I was you
know 19 20 years old and sort of telling
these people I’d be paying their
salaries so I I was actually very
conservative on a financial point of
view and one of the few arguments I had
the Steve Ballmer who came in and played
a phenomenal role in the success of the
company was how many people could he
hire because I was trying to be so
conservative but I let him go full-speed
and you know it turns out our financial
success meant that we never had a
conflict about that but you know I think
it’s great to be risk-taking
particularly when you’re young trying
out different things fields that you
know aren’t very popular that you might
enjoy but I never got into a position
where I I was taking him actually in any
meaningful sense I was taking a big risk
coming the risk of you would not to have
acted because you felt the train was
leaving the station yeah and it was so
clear that you know this was gonna
happen this was so much fun I mean you
know I was a fanatic I didn’t believe in
weekends I didn’t believe in vacation my
mom had to negotiate whether I’d come
once a week for dinner no matter who the
guest was that’s right but Warren you
have often said you still tap dance to
work average you can paint with your own
colors
yeah I I get I’m just excited about
tomorrow in terms of what is gonna
happen as I was when I started I was
having a lot of fun when I started but
I’m having just as much fun now and and
I was when I was here at Columbia I had
this terrible third I was impossible for
me to speak in public I mean I wasn’t
able to do it I actually read an ad
Newark times I went down to midtown
signed up for a course gave the guy had
checked and then stopped payment on the
check I mean it just I just petrified
but finally I and actually after you get
through here hearing me today maybe
you’ll wish I’d stayed afraid of public
speaking but that’s another question
then when I got out to all my I finally
decided I just had to do it so I gave a
guy a hundred dollars in cash and once I
borrowed another dollars in cash I jump
off the Grand Canyon to get my money’s
worth so but it change it changed my
life but I would say this don’t fear
failure almost everything that’s turned
out I got turned down by Harvard – the
best thing ever happened
among other there’s some good things
that happened it seemed good at the time
don’t worry about and don’t don’t let it
eat as you look back just keep going
because you’re gonna have some things
and forget them go forward I want to go
to the back of the room right back there
wherever number three is hi my name is
Matthew man I’m a first year at Columbia
Business School both of you had a moment
where you went out on your own and I
guess my question would be if you were
to do it all over again you’re in our
shoes what industry would that be in
where would you start your own business
one thing I’d be a failure than anything
else probably no I mean I’ve had I had
fun one is it my 20s my 30s now I’m 86
I’m having fun and so I I advise
students as much as possible
look for the job that you would take if
you didn’t need a job
I mean don’t sleep walk through life and
don’t don’t say it’s all gonna be great
you know I’ll do this and I’ll do that
you know I’m just marking time don’t
need to be older that I’ve told people
that’s like saving up sex for your old
what are you urging them to do guess
what I’m talking about
[Laughter]
you really want to be doing what you
love doing and you can’t necessarily
find it on your first job right but
don’t give up before you find it bill
you’ve had the unique experience pick a
because if you curiosity because of your
involvement in global health to see the
impact of a lot of other areas whether
it’s biomedicine or whether it’s you
know a whole range of other things other
than computer science if you were gonna
drop out of Harvard today know which
field would you be most likely attracted
to well I love the hard sciences and
there’s some phenomenal things that
people will get a chance to be part of
I’d still probably pick computer science
because the work in artificial
intelligence today is that a really
profound level you know our ability not
just to play games but that is a
profound milestone the alphago work that
the deep mind people at Google were able
to achieve and that kind of technology
is and all the leading companies a lot
of universities with AI creation of
agents the ability to read and
understand material it is going to be
phenomenal so anything connected with
that I think would be an exciting
lifetime
career I also think in energy we have
the imperative to have energy that’s
reliable cheap and clean and no system
available today can provide that whether
it’s for rich countries or for for poor
countries and so the innovations there
will be profound and there’s many paths
that could provide that solution finally
I think biology it’s the most thrilling
time you know we are going to figure out
obesity cancer even things that are very
hard like depression because the you
know the mind is is is even more
complicated than other parts of the body
I see this through the lens of the
disease of the poor the infectious
disease where new vaccines new drugs we
are moving faster than ever and some of
these are platform technologies like DNA
vaccines that are gonna give us just
that one thing will give us lots and
lots of solutions and so working in that
space is is phenomenal now I say this
you know to my children and you know
they they may not want to do hard
sciences the the one who’s picked wants
to counsel patients and and be a doctor
and even more than the science piece
that relationship with patients is what
grabs her so everybody has their own
taste but in terms of big impact those
three hired science problems would be at
the top for me alright next right here
right next to number one hello thank you
guys for being here also thank you to
mr. gates I’m also a good scholar and
without your foundation I wouldn’t be
here
many industrial based communities have
been severely affected with higher
levels of unemployment due to the
increasing utilization of automation
which ends up displacing workers what do
you believe it what do you believe is a
possible solution to unemployment
arising from automation it’s a good
question now because there’s a lot of
talk about globalization and all of that
and a lot of other people step forward
and and talk about how technology and
the impact technology is having on jobs
and and the demand for new kinds of
skills yeah we were here at 1800 and
conducting this
and somebody would point out that
eventually tractors would come along and
and better fertilizer and everything and
that 80% of the people are now employed
on the farm and in a couple hundred
years it’s gonna be two or three percent
and what are we gonna do with all these
people we’ll the answer is we release
them we Keynes wrote something about it
in something called essays on persuasion
he wrote in 1930 about what a more
prosperous society would become like and
he actually postulated that in a hundred
years and we’re now eighty-seven years
away from them that there would be four
to eight times as much output per capita
and you know he’s remarkable but he
didn’t quite get how it might get
distributed but the idea of more output
per capita which is what the progress is
made on productivity that that should be
a harmful beside is crazy I mean the
distribution may be a problem but if one
person could push a button and turn out
everything we turn out now is that good
for the world or bad for the world you
know you’d have to figure out how to
distribute it but but you’d free up all
kinds of possibilities for everything
else so you every everything should be
devoted initially to getting greater
productivity but people who fall by the
wayside through no fault of their own as
the goose lays more golden eggs should
still get a chance to participate in
that prosperity and that’s what we’re
government comes in right they’ll int
they add to that yeah the problem of
excess is a different problem than a
problem of shortage you know if all the
tractors and computer stopped working
then we would have problems of shortage
there and you know we just wouldn’t have
enough people to to make the output a
problem of excess really forced us to
look at the individuals affected and
take those extra resources and make sure
they’re directed to them in terms of
re-education and incomes policies and
the need for labour in terms of smaller
class size helping handicapped kids
reaching out to the elderly the demand
for labour is not at zero if you ever
get to that point fine you can shorten
the workweek and
you’ll you’ll be just just fine with
that and so the this idea of taking an
individual who during their generation
is affected I think there’s a lot to be
learned about that a lot of thinking we
have to do but the macro picture that it
enables is is is an opportunity number
two also I’m urging people at the back
so you have a chance and we want to go
back up to the balcony as well so when I
see number six will come to six after
two yes
hi my name is Sam I go to Columbia
College and my question is what steps
you think need to be taken in order to
improve public education particularly in
economically depressed areas of the
United States yeah I think this is a
super important issue because the
dropout rates although they’ve gone down
a little bit they’re still very high and
and very based on income and even kids
graduate a lot of them don’t enter
college or they do enter college and
they end up in these remedial courses
for their reading or math capabilities
and those people have an extremely high
dropout rate from higher education and
you know they can incur debt they have a
negative experience so we have a long
ways to go in education there are some
very strong points of light like here in
New York City some of the charter
schools are with even less resources
than schools at large doing a phenomenal
job of educating kids there are a lot of
countries particularly in Asia who
spending way less of their GDP on
education are doing a great job
educating their kids and it’s not just
the top 20% their bottom 20% is pretty
phenomenal in the case of China South
Korea and Singapore and so looking at
what we’ve learned in charter schools in
terms of building the culture giving
teachers feedback what is good teaching
look like do we give teachers a chance
to learn from each other about that you
know
development that makes the subject seem
relevant and important there are great
teachers but spreading those practices
is has been very very tough and so I’d
say it’s a top priority and we’ve take
our foundation has that for our work in
the United States education is is the
top priority whereas outside the US we
take on health it’s a tough problem
because the institution of Education are
fairly resistant to change and people
are not yet convinced by various
approaches very easily but we need to
keep at it we’re gonna you know stay and
even actually put even more money into
trying to help help create models okay
up number six Hey first I wanted to
thank well I witnessed I found all of
your foundation and eliminating polio in
India and I’m really thankful for that
my question is more on how to set the
basic level of debate in any any public
sense like there are many trade-offs how
do I explain climate change policy for
people who are losing losing jobs in the
coal sector how do you balance the
current current short-term economic
goals with a long term peaceful
transition to the renewable sources of
energy now it’s a good question and the
certain topics are so complicated like
climate change that to really get a
broad understanding is a bit difficult
and particularly when people take any of
that complexity and trying and create
uncertainty about it and you know for
example India’s kind of paradigm attic
in that they want to electrify for all
sorts of good reasons having to do with
health and reading at night and quality
of life and the question of should they
delay electrification for climate issues
is is going to be very difficult the
ideal is to innovate in such a way that
they can go full speed ahead on
electrification without emitting the co2
that a the
natural path them today which is coal is
the way to go in so we have a lot of
cost reduction to do because rich
countries may be able to buy premium
electricity when you get to middle
income or lor that’s just just not going
to happen and you know democracy has
this allocate these resources in terms
of investing in the future and things
like research and investing in in the
present and when you have a problem like
the financial crisis then you do get a
little bit of more of short-term
thinking and I’m hopeful I think it’s
better for the world and for the country
if we can get back into a little bit
more of a focus on the long term we have
some questions from Facebook one a
central tenant of your investing is
invest for the long term and this comes
from Brian white who says how my bill
and warrant convince investors to think
beyond short-term returns to encourage
world-changing innovation well I’ve
spent my life trying to convince people
on investing for the long term and
listen if I know how to double my money
tomorrow I probably and those with the
short term – it’s much it’s much easier
to invest for the long term if you’re
just talking pure and that’s not because
you know what’s going dead and I my view
be very high probably what’s going to
happen 10 and 20 years from now in a
major way and I don’t have the faintest
idea what’s going to happen tomorrow or
next week but you get if you’re talking
about societal it’s very tough because
politicians face elections either every
two years or six years and the way the
way bridging like congressional
districts have been organized primaries
have become more and more important and
so it’s very hard to have politicians
think of something that’s wonderful for
the country for 20 years but will cost
them the election two years from now and
that that’s a basic problem and a
democracy and it gets to be more of a
problem as as we get arraigned we’ve
arranged congressional districts so the
primary
dominates because a very limited number
of people turn out on their motive tend
to be on the extremes of both parties so
it it’s not easy
whether you’re gonna make an investment
in a company or whether you’re gonna buy
the company now what are the factors
that you have to be that you’re looking
for what test
I’m looking for durable competitive
advantage I’m looking for something that
has a moat around it for a considerable
period of time and I’m looking for an
honest and able management Toronto
because I don’t know how to run it
myself and I’m looking for a purchase
price that’s not excessive but it’s
better to pay a little too much for
something that’s a very good business
than it is to buy some bargain but
believing a company but not much of a
future and I don’t know I don’t have a
ability to predict with a higher high
probability of success the future of
most companies so I’m looking for the
exception but the nice thing is if
there’s thousands of companies out there
and we don’t have to be right on a
couple I mean it’s exactly the opposite
of baseball where you have called
strikes and the pitchers trying to throw
it to it the worst part of the strike
zone for you and if he succeeds in
getting into that corner two three times
and you don’t swing you’re out and and
investing it’s a no it’s a no cold
strike things I can sit there all day
and somebody can throw me one company
after another and finally I got one of
my sweet spot both of you have chosen
both wives and partners well charlie
munger added what Charlie Munger changed
my views are we he’d be find them in a
huge way in terms of looking for the
quality companies and and and looking
further the ability to make an
investment that would work out well for
five or ten or twenty years as opposed
to something might there might be one I
call it cigar butt investing where there
was one puff left in the cigar butt the
cigar was free so he picked up these
disgusting looking things and got one
puff out of and went on to another one
and that worked okay but it was
small-scale and it really doesn’t build
something satisfying so so he he kept
forcing me in the direction of saying
you know existed a really a business we
want a home for forever
and do we want to get a Soviet it’s like
a marriage I mean you want to get
associated with this person forever and
it’s a great way to look at things build
your wife Melinda has added what well
she’s going for children because she is
your partner and she was there in the
philanthropy I would say one at
Microsoft I had two partners who were
amazing I had Paul Allen in early days
and then Steve Ballmer’s that company
got bigger and we would not have
achieved anything what we did without
those partnerships because you know when
things are tough when you’re making big
decisions having somebody who’s really
in there with you committed you know for
me I I couldn’t have done without that
for the foundation Melinda is an amazing
partner she thinks about the people
issues better than I do she you know
knows when I get over excited about the
science she can you know make sure we’re
being realistic about it and it makes it
fun you know last week I went to Europe
to build economic formers she went to
Nigeria and then this weekend we just
sat and talked about okay what did we
see what does that say about the work we
should do and so you know I don’t think
I did enjoy it without a partner and
particularly someone amazing like her
it’s more fun with a partner I mean
Charlie and I’ve had more fun working
together than neither one of us would’ve
had individually and we have never had
an argument after working together for
58 you could talk every day not anymore
because we know what the other guy’s
gonna say we just run we talked it all
out 50 years ago so if you see Charlie
and he says why am you calling you’d say
well I knew what you say anyway right
there let’s say noir – hi my name is
Molly Zanger I’m a student at Barnard
College I guess what I’m basically
wondering is what your main
considerations are when you’re choosing
where to donate on what causes to donate
to you and what the main challenges are
that are associated with that yeah I
wholesale look because I made a choice
that I wanted to have well originally my
first wife and I planned that I would
pile up and she would unpiloted
that was plan number one but she she died in 2004 and then I had the problem
died in 2004 and then I had the problem of figuring out the best way to
of figuring out the best way to distribute book which turned out to be a
distribute book which turned out to be a lot of money and I wanted I wanted some
lot of money and I wanted I wanted some people who had similar values and summer
people who had similar values and summer objectives what I have I also wanted
objectives what I have I also wanted people who would pour in intelligence
people who would pour in intelligence and energy and case of Bill Melinda a
and energy and case of Bill Melinda a lot of their own funds work at a full
lot of their own funds work at a full time but who really saw society as I saw
time but who really saw society as I saw it which is that every life is of equal
it which is that every life is of equal valuing and that if you start with that
valuing and that if you start with that and then you figure what you might be
and then you figure what you might be good at changing whether it’s a medicine
good at changing whether it’s a medicine or education or early learning or
or education or early learning or whatever it may be you know that was my
whatever it may be you know that was my answer was the the wholesale and retail
answer was the the wholesale and retail philanthropy would drive me crazy but
philanthropy would drive me crazy but hotel philanthropy everybody like Bill
hotel philanthropy everybody like Bill yeah for our work at the foundation the
yeah for our work at the foundation the belief in innovation which both Melinda
belief in innovation which both Melinda and I saw it
and I saw it Microsoft our question was okay how do
Microsoft our question was okay how do we bring that kind of innovation to help
we bring that kind of innovation to help the world’s poorest and we learned that
the world’s poorest and we learned that coming up with new vaccines that
coming up with new vaccines that although you can pay a lot to have them
although you can pay a lot to have them created the marginal cost comes down to
created the marginal cost comes down to less than $1 so great getting a new
less than $1 so great getting a new vaccine for the main cause of diarrhea
vaccine for the main cause of diarrhea or pneumonia that can be a phenomenal
or pneumonia that can be a phenomenal thing so you’re looking for these super
thing so you’re looking for these super nonlinear dramatic things because as a
nonlinear dramatic things because as a you know perp or person are compared to
you know perp or person are compared to government funding philanthropy is
government funding philanthropy is actually quite small and yet funding
actually quite small and yet funding vaccine projects the government isn’t as
vaccine projects the government isn’t as good as that as a philanthropist who
good as that as a philanthropist who assembles a team and over time it’s
assembles a team and over time it’s learning how to do that very well and we
learning how to do that very well and we had models in a Rockefeller Foundation
had models in a Rockefeller Foundation was a phenomenal foundation the Green
was a phenomenal foundation the Green Revolution is just one of many things
Revolution is just one of many things that they did which raised agriculture
that they did which raised agriculture activity and saved avoided hundreds of
activity and saved avoided hundreds of millions starving and so studying the
millions starving and so studying the other foundations that have taken these
other foundations that have taken these big breakthroughs and created model out
big breakthroughs and created model out of those that was very informative to
of those that was very informative to the to what we’ve gone after what’s the
the to what we’ve gone after what’s the most important lesson you’ve learned
most important lesson you’ve learned though about making investments from the
though about making investments from the foundation today that you learned along
foundation today that you learned along the way well I think when we started out
the way well I think when we started out I thought that just coming up with a new
I thought that just coming up with a new vaccine or drug alone would be enough
vaccine or drug alone would be enough and that the world would then take that
and that the world would then take that and get it out to all the children of
and get it out to all the children of the world
the world you know partly through field this as I
you know partly through field this as I did that Melinda did looking at the
did that Melinda did looking at the statistics that delivery system it
statistics that delivery system it doesn’t get out to a lot of the kids and
doesn’t get out to a lot of the kids and so having to figure out how people were
so having to figure out how people were hired or how that was funded and
hired or how that was funded and measured this what’s called primary
measured this what’s called primary health care we were drawn into that out
health care we were drawn into that out of necessity it didn’t fit the normal
of necessity it didn’t fit the normal sort of in the lab you know come up with
sort of in the lab you know come up with this great concoction and and yet in
this great concoction and and yet in order to achieve our goals we needed to
order to achieve our goals we needed to to think about those delivery pieces in
to think about those delivery pieces in fact sometimes the state of the product
fact sometimes the state of the product actually had to be simpler in some ways
actually had to be simpler in some ways in order to get through that very
in order to get through that very limited delivery capacity and now we’re
limited delivery capacity and now we’re getting to eighty-six percent of the
getting to eighty-six percent of the world’s children with vaccines it was
world’s children with vaccines it was about 70 percent when we got started so
about 70 percent when we got started so that’s good increase we still have have
that’s good increase we still have have 14% to go well about mil good to have
14% to go well about mil good to have amazing convening and persuasive powers
amazing convening and persuasive powers as well so I mean they they bring
as well so I mean they they bring something far more to it than just money
something far more to it than just money I mean they they work incredibly hard as
I mean they they work incredibly hard as do my three children and our foundations
do my three children and our foundations but they work incredibly hard at getting
but they work incredibly hard at getting governments involved in vaccines or
governments involved in vaccines or whatever it may take and that that just
whatever it may take and that that just is you know it’s it’s an extra dimension
is you know it’s it’s an extra dimension that I think very few people have in the
that I think very few people have in the field yeah I mean it’s a hands-on it’s a
field yeah I mean it’s a hands-on it’s a travel to when Melinda is in Africa and
travel to when Melinda is in Africa and she’s holding a little baby I mean she
she’s holding a little baby I mean she is actually thinking
is actually thinking you know this kid needs to be back that
you know this kid needs to be back that it has a decent chance in education all
it has a decent chance in education all that I feel the same way about the kid
that I feel the same way about the kid but what I really think is isn’t gonna
but what I really think is isn’t gonna pee on me so I you know there’s just a
pee on me so I you know there’s just a difference in that human touch makes a
difference in that human touch makes a big difference I’m halfway in between
big difference I’m halfway in between I think he’s closer to me my number
I think he’s closer to me my number three and number four first one then
three and number four first one then three then four me at the Columbia
three then four me at the Columbia Business School if the current
Business School if the current government were to ask for your advice
government were to ask for your advice on immigration or health care reform
on immigration or health care reform what would you recommend to them well
what would you recommend to them well I’m on immigration
I’m on immigration yeah well immigration I mean this
yeah well immigration I mean this country is built on it I would say the
country is built on it I would say the people that are anti-immigration let’s
people that are anti-immigration let’s put it in retro actively everybody
put it in retro actively everybody leaves this country if you think about
leaves this country if you think about it I’m little Ferguson before from me
it I’m little Ferguson before from me but we are sitting here in part because
but we are sitting here in part because of two Jewish immigrants who in 1939 in
of two Jewish immigrants who in 1939 in August signed the most important letter
August signed the most important letter perhaps in the history of the United
perhaps in the history of the United States and you can you can go to the
States and you can you can go to the internet and go to search Bing and just
internet and go to search Bing and just type in Einstein Roosevelt 1939 Leo
type in Einstein Roosevelt 1939 Leo Szilard and Albert Einstein two
Szilard and Albert Einstein two immigrants came here they both they came
immigrants came here they both they came directly from Germany’s the Lardon came
directly from Germany’s the Lardon came from Hungary before that and they told
from Hungary before that and they told President Roosevelt that the Germans
President Roosevelt that the Germans were likely to develop an atom bomb
were likely to develop an atom bomb which was likely to work it’s less than
which was likely to work it’s less than a full page and we’d better get to work
a full page and we’d better get to work on something fast and that the Manhattan
on something fast and that the Manhattan Project came out of that and have it had
Project came out of that and have it had been for those two immigrants you know
been for those two immigrants you know who knows whether we’d be sitting in
who knows whether we’d be sitting in this room immigration I mean right it’s
this room immigration I mean right it’s this country has been built on the west
this country has been built on the west exactly by immigrants and you can take
exactly by immigrants and you can take them from any country you want and they
them from any country you want and they they’ve come here and they found
they’ve come here and they found something that unleashed the potential
something that unleashed the potential that the place where they left did not
that the place where they left did not and and we’re the product of it let me
and and we’re the product of it let me the question also was about health care
the question also was about health care I mean what can you tell us about health
I mean what can you tell us about health care that you think is important in
care that you think is important in terms of the consideration of what might
terms of the consideration of what might happen I mean if you were building a
happen I mean if you were building a health care plan for America what would
health care plan for America what would be the elements that you would want to
be the elements that you would want to include well there’s no doubt that in
include well there’s no doubt that in order to provide decent health care the
order to provide decent health care the percentage of GDP devoted to it is going
percentage of GDP devoted to it is going to go up over time it’s already very
to go up over time it’s already very high and yes there’s some efficiencies
high and yes there’s some efficiencies to be gained in that you know 18% are so
to be gained in that you know 18% are so number but as society ages as we come up
number but as society ages as we come up with new things like joint replacement
with new things like joint replacement organ transplant which are going to
organ transplant which are going to create lots of human benefits we’re
create lots of human benefits we’re going to have to have more resources
going to have to have more resources overall including more government
overall including more government resources for health care and so it’s a
resources for health care and so it’s a tough problem because you have both
tough problem because you have both access problems today and you have cost
access problems today and you have cost problems today and you know I whenever I
problems today and you know I whenever I look at a problem I have this one simple
look at a problem I have this one simple lens which is those innovation should
lens which is those innovation should help here but in this case innovation
help here but in this case innovation while it will provide breakthrough drugs
while it will provide breakthrough drugs that will save costs like if you can
that will save costs like if you can cure Alzheimer’s which we certainly
cure Alzheimer’s which we certainly haven’t done yet that will save on huge
haven’t done yet that will save on huge long-term care costs so we have these
long-term care costs so we have these chronic diseases that we’ve made less
chronic diseases that we’ve made less progress on then than some of the others
progress on then than some of the others and you know the market mechanism to get
and you know the market mechanism to get Pharma to go after those things and the
Pharma to go after those things and the basic research because funds I am quite
basic research because funds I am quite optimistic that we’ll have some advances
optimistic that we’ll have some advances but they’ll also give us some very
but they’ll also give us some very expensive things that will mean where
expensive things that will mean where we’re spending more money against it and
we’re spending more money against it and I do hope you know that at some point
I do hope you know that at some point that we really are calling on the best
that we really are calling on the best minds to look at the incentives for the
minds to look at the incentives for the breakthroughs the most efficient
breakthroughs the most efficient system we have here I think there’s a
system we have here I think there’s a lot of unhappiness in the country now
lot of unhappiness in the country now stems from the fact that the health care
stems from the fact that the health care system isn’t delivering and yet you know
system isn’t delivering and yet you know people are saying less government more
people are saying less government more government you know I don’t think
government you know I don’t think they’re being given the depth of
they’re being given the depth of education about why it’s so tough that
education about why it’s so tough that over time will help them vote the depth
over time will help them vote the depth of explanation I mean let me go to
of explanation I mean let me go to Facebook in just a moment but where was
Facebook in just a moment but where was I promised three four and six three is
I promised three four and six three is there and six is up there so quote three
there and six is up there so quote three six and then we’ll go to Facebook hi my
six and then we’ll go to Facebook hi my name is Josh Shaffer and I’m a dental
name is Josh Shaffer and I’m a dental resident at Columbia my question is for
resident at Columbia my question is for future doctors in genesis of America
future doctors in genesis of America what what advice you have in giving
what what advice you have in giving about having a proper balance of
about having a proper balance of providing that health care but also
providing that health care but also mastering the concepts of Business and
mastering the concepts of Business and Economics well I told gowanni
Economics well I told gowanni is you know incredible Walter he in the
is you know incredible Walter he in the current issue of The New Yorker has a
current issue of The New Yorker has a the latest in wonderful articles about
the latest in wonderful articles about the health care system and he’s talking
the health care system and he’s talking about the people who do sort of heroic
about the people who do sort of heroic surgery like himself are paid twice as
surgery like himself are paid twice as much as the the people who are on an
much as the the people who are on an ongoing basis and a great incremental
ongoing basis and a great incremental way learning about the patient and and
way learning about the patient and and seeing what works for them and he it’s a
seeing what works for them and he it’s a calling choir to say hey though that
calling choir to say hey though that part of the system needs to be run
part of the system needs to be run better needs needs more resources and
better needs needs more resources and you know so I think it’s brilliant that
you know so I think it’s brilliant that he’s saying that and it also corresponds
he’s saying that and it also corresponds to what what is working in in some other
to what what is working in in some other countries six
so you both have invested a great deal of money abroad but there is a
of money abroad but there is a prevailing belief by some that there are
prevailing belief by some that there are pressing issues in America there are
pressing issues in America there are poor people here there are sick people
poor people here there are sick people here and we should deal with that first
here and we should deal with that first before even tackling anything abroad so
before even tackling anything abroad so what are your thoughts on that my own
what are your thoughts on that my own personal thoughts is that every life is
personal thoughts is that every life is of equal value and in many ways
in many ways if you have a little bit number of dollars you actually can do
number of dollars you actually can do more for more people outside the United
more for more people outside the United States and we do have greater resources
States and we do have greater resources here for our 320 million people than
here for our 320 million people than exists around the world for seven
exists around the world for seven billion people so if if you you can
billion people so if if you you can improve the lot of more people by
improve the lot of more people by intelligently spending a billion dollars
intelligently spending a billion dollars or any other number in other areas of
or any other number in other areas of the world actually and then here and I
the world actually and then here and I get you know I coming from Omaha and
get you know I coming from Omaha and having the money I have people can say
having the money I have people can say well why not spend it all in Omaha you
well why not spend it all in Omaha you know you grew up here and almost done
know you grew up here and almost done all kinds of things for you and I
all kinds of things for you and I absolutely knowledge that but in the end
absolutely knowledge that but in the end if I’ve got X dollars to spend I can
if I’ve got X dollars to spend I can make life better for more people if I
make life better for more people if I can have it intelligently allocated in
can have it intelligently allocated in other parts of the world actually than
other parts of the world actually than the United States and that draws a fair
the United States and that draws a fair amount of criticism but you know I live
amount of criticism but you know I live with it because I read it’s what I
with it because I read it’s what I believe in all lives have equal value is
believe in all lives have equal value is really the driving force
really the driving force I mean I found a I’m an accident I won
I mean I found a I’m an accident I won the ovarian artery when I was born in
the ovarian artery when I was born in the United States in 1930 it was 40 to 1
the United States in 1930 it was 40 to 1 against me
against me I was male that now it’s 80 to 1 against
I was male that now it’s 80 to 1 against being a male in the United States in
being a male in the United States in 1930 I was just plain lucky my life had
1930 I was just plain lucky my life had been far different bill always said if
been far different bill always said if I’d been born a long time ago I’d have
I’d been born a long time ago I’d have been some animals lunch because I can’t
been some animals lunch because I can’t run fast and I can’t climb trees and
run fast and I can’t climb trees and everything no and I’d be think I
everything no and I’d be think I allocate capital it wouldn’t work and I
allocate capital it wouldn’t work and I was lucky but a 79 out of the 80 weren’t
was lucky but a 79 out of the 80 weren’t as lucky as I was at that time go ahead
as lucky as I was at that time go ahead bill yeah in terms of the helping people
bill yeah in terms of the helping people in other countries the foreign a bunch
in other countries the foreign a bunch of the u.s. is is 0.8 percent of the
of the u.s. is is 0.8 percent of the budget and there will be in in the years
budget and there will be in in the years ahead a discussion about is that we’re
ahead a discussion about is that we’re doing it saves lives for typically about
doing it saves lives for typically about a thousand dollars of life saved and in
a thousand dollars of life saved and in terms of stability and countries
terms of stability and countries eventually being self sufficient to meet
eventually being self sufficient to meet part of the world economy there are some
part of the world economy there are some some huge benefits to that so if we were
some huge benefits to that so if we were talking about should we spend 20 or 30
talking about should we spend 20 or 30 percent overseas okay you know that
percent overseas okay you know that would be a very interesting discussion
would be a very interesting discussion but what we’re trying to preserve is
but what we’re trying to preserve is something that’s gotten smarter and
something that’s gotten smarter and smarter all the time as proven benefits
smarter all the time as proven benefits all of which are things that our
all of which are things that our foundation coin vests invest in the same
foundation coin vests invest in the same things like like the polio thing is is
things like like the polio thing is is 0.8 percent so I’m hopeful that in a big
0.8 percent so I’m hopeful that in a big world that can remain a priority let me
world that can remain a priority let me go to another Facebook question this is
go to another Facebook question this is from Nadia Rockwall says how my bill and
from Nadia Rockwall says how my bill and Lauren encourage innovation particularly
Lauren encourage innovation particularly among teens and young adults how do you
among teens and young adults how do you encourage innovation well I think you
encourage innovation well I think you have a market system to provides rewards
have a market system to provides rewards for it and we have it I mean we we have
for it and we have it I mean we we have an incubator for innovation in the
an incubator for innovation in the United States and you know Bill can drop
United States and you know Bill can drop out of school Andy Grove can come from
out of school Andy Grove can come from Hungary and I mean this just welcomes it
Hungary and I mean this just welcomes it and thank God I mean that’s why we have
and thank God I mean that’s why we have the kind of prosperity that we have I
the kind of prosperity that we have I mean the question of how it gets divided
mean the question of how it gets divided is a secondary question and that does
is a secondary question and that does not get solved as well by the market
not get solved as well by the market system but but our system is just
system but but our system is just designed for then look at what has
designed for then look at what has happened all right number one so also I
happened all right number one so also I want to make sure we get to people the
want to make sure we get to people the back so we don’t only have five minutes
back so we don’t only have five minutes left so there’s a couple of hands up in
left so there’s a couple of hands up in the back so please recognize it hi my
the back so please recognize it hi my name is ah here I’m a senior in the
name is ah here I’m a senior in the engineering school as men of such great
engineering school as men of such great influence I’m curious and we touched a
influence I’m curious and we touched a little bit about this in the last
little bit about this in the last question but how you deal with
question but how you deal with reconciling your convictions with maybe
reconciling your convictions with maybe what is believed by the public maybe
what is believed by the public maybe even a majority considering that you
even a majority considering that you have the wealth and power and fame to
have the wealth and power and fame to make such great things happen
either well I don’t see you know the the convictions I have you know I love
convictions I have you know I love sharing them and talking to people
sharing them and talking to people understanding you know where people
understanding you know where people disagree I you know I can be overly
disagree I you know I can be overly science centric about things I you know
science centric about things I you know there’s all sorts of causes that are
there’s all sorts of causes that are super important that our foundation
super important that our foundation because we have limited resources we
because we have limited resources we don’t get to go and do there’s there’s
don’t get to go and do there’s there’s lots of diseases there’s aspects of
lots of diseases there’s aspects of Education you know part of the strength
Education you know part of the strength of philanthropy is its diversity and and
of philanthropy is its diversity and and and so just by sharing the fact that
and so just by sharing the fact that it’s fun it really can have measurable
it’s fun it really can have measurable impact I hope that sets an example for
impact I hope that sets an example for all of philanthropy I don’t happen to
all of philanthropy I don’t happen to believe that you know my voice should be
believe that you know my voice should be that much louder than other people you
that much louder than other people you know so you know some of these big
know so you know some of these big political donations you know at least
political donations you know at least you know I and I’m worn as well you know
you know I and I’m worn as well you know we’ve chosen not to have that be a huge
we’ve chosen not to have that be a huge way that you know we’re spending our
way that you know we’re spending our money that’s a personal choice you know
money that’s a personal choice you know the monies being saved for not for the
the monies being saved for not for the megaphone but for the the work of the
megaphone but for the the work of the foundation we get a podium of a certain
foundation we get a podium of a certain sort you know and but people do not with
sort you know and but people do not with a partner like Charlie Munger you don’t
a partner like Charlie Munger you don’t have to worry about my use being
have to worry about my use being accepted automatically point out the
accepted automatically point out the shortcomings the the influence of money
shortcomings the the influence of money in politics I really think is bad news
in politics I really think is bad news for this country I think citizens united
for this country I think citizens united was a terrible decision and the idea
was a terrible decision and the idea that somebody can for millions and
that somebody can for millions and millions of dollars into a campaign and
millions of dollars into a campaign and in certain cases it not even be
in certain cases it not even be identified I think really kind of goes
identified I think really kind of goes counter to the kind of America I believe
counter to the kind of America I believe in the two of you created along with
in the two of you created along with blend and others created the Giving
blend and others created the Giving Pledge how’s that going going terrific
Pledge how’s that going going terrific good day Atlanta these kind of a little
good day Atlanta these kind of a little color it is exactly yeah okay this is
color it is exactly yeah okay this is you know we love philanthropy of all
you know we love philanthropy of all types
types and part of the strength of American
and part of the strength of American clamp is actually people with very
clamp is actually people with very little who are incredibly generous here
little who are incredibly generous here though we said for the people who are
though we said for the people who are super lucky have over a billion dollars
super lucky have over a billion dollars we want a group who are working together
we want a group who are working together who are committed to give the majority
who are committed to give the majority their wealth away to learn from each
their wealth away to learn from each other what’s worked what hasn’t work how
other what’s worked what hasn’t work how do you involve your kids how do you hire
do you involve your kids how do you hire staff and they’ll find areas they’re
staff and they’ll find areas they’re working on together and cooperate but
working on together and cooperate but we’re not pulling any money and we
we’re not pulling any money and we thought we’d get you know twenty
thought we’d get you know twenty twenty-five people together and in fact
twenty-five people together and in fact now we’re at one hundred and fifty six
now we’re at one hundred and fifty six so it is a wonderful yearly event I’ve
so it is a wonderful yearly event I’ve made some great people I do think that
made some great people I do think that the quantity and quality has gone up
the quantity and quality has gone up because we’re getting together we’ll
because we’re getting together we’ll never be able to measure that in a
never be able to measure that in a direct way in we’re making special
direct way in we’re making special efforts in China and India because now
efforts in China and India because now we have a lot of welfare that wasn’t
we have a lot of welfare that wasn’t there before and in their own way I
there before and in their own way I think they by having a strong
think they by having a strong philanthropic sector that will help
philanthropic sector that will help those countries and and therefore help
those countries and and therefore help the world what’s interesting now
the world what’s interesting now building I are having dinner actually
building I are having dinner actually with a group tonight for example but if
with a group tonight for example but if you go back 100 150 years people got
you go back 100 150 years people got wealthy by making some money from the
wealthy by making some money from the first oil refinery or still a mill and
first oil refinery or still a mill and building another one that Henry Ford
building another one that Henry Ford would build a plan to build cars and
would build a plan to build cars and then it would be from actually from
then it would be from actually from retained earnings which eventually
retained earnings which eventually turned into cash now you can get rich
turned into cash now you can get rich very young just by having an idea and
very young just by having an idea and you can get that idea monetized and
you can get that idea monetized and capitalized in a way that you cannot
capitalized in a way that you cannot believe so we are particularly
believe so we are particularly interested in getting younger people
interested in getting younger people interested in flying because they there
interested in flying because they there will be huge
will be huge there are huge fortunes by people that
there are huge fortunes by people that are now in their 20s and 30s and just
are now in their 20s and 30s and just think about those the potential for that
think about those the potential for that group and so on this thing has worked
group and so on this thing has worked out way way better including getting
out way way better including getting younger people to join us number six
hello my name is Christina Nunez I’m a fellow dental student – Josh thank you
fellow dental student – Josh thank you for speaking with us today I’m curious
for speaking with us today I’m curious about your insight related to
about your insight related to relationships
relationships I’m personally given a desire to honor
I’m personally given a desire to honor myself and respect other individuals
myself and respect other individuals have found it difficult throughout life
have found it difficult throughout life to discern which relationships to really
to discern which relationships to really foster and invest in and accept
foster and invest in and accept challenges from and which to kind of
challenges from and which to kind of forego and abandoned because they’re
forego and abandoned because they’re more harmful than helpful so are there
more harmful than helpful so are there any major life lessons that you to have
any major life lessons that you to have learned through your personal
learned through your personal experiences it’s a very important
experiences it’s a very important question and the more you will move in
question and the more you will move in the direction of the people that you
the direction of the people that you associate with so I it’s important to
associate with so I it’s important to associate with people that are better
associate with people that are better than yourself and actually the most
than yourself and actually the most important decision many of you may not
important decision many of you may not all of you will be the spouse you choose
all of you will be the spouse you choose and you really you want to associate
and you really you want to associate with people who are the kind of person
with people who are the kind of person you’d like to be and you’ll you’ll move
you’d like to be and you’ll you’ll move in that direction and the most important
in that direction and the most important person by far in that respect is your
person by far in that respect is your spouse I can’t overemphasize how
spouse I can’t overemphasize how important that is you’re right
important that is you’re right the friends you have they will form you
the friends you have they will form you as you go through life and make some
as you go through life and make some good friends keep them for the rest of
good friends keep them for the rest of your life but have them be people that
your life but have them be people that you admire as well as Wykeham don’t do
you admire as well as Wykeham don’t do that to that yeah some friends do bring
that to that yeah some friends do bring out the best in you and and so those
out the best in you and and so those it’s good to invest in those friendships
it’s good to invest in those friendships I and you know some friends challenge
I and you know some friends challenge you about things you’re doing
you about things you’re doing and that you know that level of intimacy
and that you know that level of intimacy is great I wouldn’t say that I’m you
is great I wouldn’t say that I’m you know I was so obsessed with work I
know I was so obsessed with work I didn’t invest I’d say in my 20s and 30s
didn’t invest I’d say in my 20s and 30s as much as I should have
as much as I should have it’s really through Melinda and seen you
it’s really through Melinda and seen you know other people I realize okay that is
know other people I realize okay that is you know it’s really worth the
you know it’s really worth the investment to have those people as
investment to have those people as you’re always there to help them and and
you’re always there to help them and and vice versa