QuestionerMy question is this, whether the concept of market value added and economic value added is a concept that's applicable and useful to Berkshire Hathaway as a whole or in analyzing its line of business segments. If Warren is using economic value added exactly the way they're now teaching it in the business schools, he hasn't told me. Obviously, the concept has some merit in it, but the exact formal method, I do not believe we use. Warren, are you using this stuff secretly?
WarrenNo, we, in a sense, they're trying to get at the same thing we do, or we're trying to get at the same thing they do. But I think it's, A, I think it has some flaws in it, although I think it generally comes out with the right answers. It sort of forces itself to come out with the right answers. But I really don't think you need that sort of thing. I mean, I do not think it's that complicated to figure out you know, where it makes sense to put money. sense to put money. You may make mistakes doing it. But in terms of the mental manipulations you go through, I have, I'm, I don't think it's a very complicated subject. And I don't think that the people marketing one or another fad and management tend to make them a little more complicated and needed so that you have to call it the high priest. And, you know, if all that really counts is the Ten Commandments, you know, it's very, it's very tough on religious counselors and everything. It doesn't take, it just doesn't make it complicated enough. And I think there's some of that and quite a bit of that in management consulting and then the books that you see and all of that that come out. You can just see these fads sort of going through, and then they have seminars on them and everything. And, you know, the investment bankers create product to satisfy the demand. And there's these fads in management. I mean, obviously, listening to your customer and things like that. I mean, nothing makes more sense, but it's hard to write a 300-page book that just says listen to your customer.