Buffett teaches his kids a lesson with a slot machine · Transcript · BuffettMungerGPT

CharlieThe human propensity to gamble is huge. Now, when it was legalized only in pretty much in Nevada, you had to go to some distance or break some laws to do any serious gambling. But as the states learned to, you know, what a great source of revenue it was, they gradually made it easier and easier and easier for people to gamble. And believe me, the easier it's made, the more people will gamble. I mean, when I was, look, my children are here and 40 years ago, I bought a slot machine and I put it up on our third floor. And I could give my kids any allowance they wanted as long as it was in dimes. I mean, I had it all back by nightfall. I thought it would be a good lesson for him. Now, they weren't going to Las Vegas to do it, but believe me, when it was on the third floor, they could find it. You know, and my payout rate, payout ratio was terrible too, but that's the kind of father I was. The gambling, you know, people are always going to want to do it. And for that reason, I particularly think that access, you know, in terms of friendly gambling or anything like that, I'm not a prude about it, but I do think that to quite an extent, gambling is a tax on ignorance. I mean, if you want to, if you want to tax, the ignorant, people who will do things with the odds against them. You know, you just put it in, and guys like me don't have to pay taxes. And I really don't, I find that, I find it kind of socially revolting when a government preys on the weaknesses of its citizenry rather than acts to serve them. And believe me, when a government sticks, you know, when a government makes it easy for people to take their Social Security checks and start pulling handles or participating in lotteries or whatever it may be. It's a pretty cynical act.