The USA is awesome and has a unique combination of characteristics that have made us strong. I studied international governments as part of my college studies and realize how fortunate we all are to live in the system we do. However we should not let this go to our heads, and should stay strong and humble. The great experiment is not over and we still have a ways to go. Lately we seem to retreat a little too far into tribalism and politics, it would be more beneficial to our future to tone it down and focus on the work to build a better future. We have made it through many hard times as a country so I am sure we can manage modern day issues. On this 4th of July, we wanted to lay out 4 elements that make us strong and can add to your wealth.
We are not perfect, but on many levels the US has accomplished great things and we will continue to do so. We have a strong formula for human performance and progress. If Warren Buffet is betting on the future of America, that is saying a lot. Everyday I look at something in the US and think things are pretty good in spite of the daily barrage of challenges.
Yes, we have our challenges and disagreements, but same as it ever was. I’m betting on America over the long run. On many levels things are better than they ever have been. Here are 4 ways one can use to become wealthy in America that many other people around the world do not have, but hopefully someday will:
One: Private property rights
We are very fortunate to live in a country that respects private property rights. The King or Warlord cannot roll onto your property at anytime and claim it, as is possible in many nations today. This partly allows us to own great assets and grow our individual wealth over time. So next time you invest in real estate, a stock, a bond, etc., keep in mind the system that allows us the freedom to do so and make a better life for our families.
Two: Own a piece of a great American company
Think about the great companies of the world: Apple, Berkshire, Amazon, Microsoft, Johnson & Johnson, etc., etc., etc. All American companies! Along the lines of the first idea, it seems like a great way to build wealth is to own a piece of various American assets. American companies will continue to innovate and find ways to be more efficient, which will continue to provide value to shareholders over the long run. The great news is that almost anyone in America can own a small sliver of the future value of great companies. Own assets! What is an asset? Something that produces value and income for the owner. This could be real estate, a business, stock/equities which are basically small slivers of businesses, bonds (loans to companies and governments for major projects), gold (a historical classic). Sure, these things will have their ups and downs, but they seem to go up in value over the long run. In spite of our collective challenges, America is still a great place to participate in owning a part of the assets and economy. Could we improve some things, yes! But I would still bet on America, we have the right mix of systems to address many challenges. In my opinion we would be stronger if we found ways to improve our healthcare system and educational systems. These are not unsolvable issues.
I think a great way to own slices of great American companies is to own Berkshire Hathaway stock. The Oracle of Omaha has hundreds of people that spend all day seeking out great American companies to own and operate.
Three: Unlimited choices
In America, we have so many choices compared to people in other countries. Perhaps we have too many options at times, but that is the power of competitive markets. Hopefully we keep our markets competitive in order to drive technology, efficiencies and costs. From a personal finance perspective, we have many choices and options in terms of financial services. Make sure have the market place compete for your hard earned money.
Four: Beautiful places to visit
In my mind, True Wealth is many things, and one of those things are the wide open and beautiful spaces of America. I have been fortunate to see many of our natural spaces and national parks. The National and Regional parks are true gems of our nation that should be protected for eternity. One aspect of our greatness as a country has been our natural resources and geography. We would be wise to manage it well for years to come and to pass on that legacy to our grandchildren and beyond. I am constantly amazed by the beautiful physical presence of our nation. From Hawaii, Alaska, Arizona, California, Texas, etc. I love visiting the wonderful cities, towns and country of our great nation. It is the most valuable asset we have. Hopefully we have the wisdom to be responsible stewards for generations to come.