By Noah Buhayar and Katherine Chiglinsky via bloomberg.com Article
Buffett Says Stock Ownership Became More Attractive With Tax Cut
“Warren Buffett said the U.S. tax cut will make companies more valuable by giving owners a bigger share of profits.
‘People who own the businesses, they now own 20 percent more of the domestic earnings,’ Buffett, chief executive of Berkshire Hathaway Inc., said in an interview on CNBC Wednesday.
Describing the change as a ‘big deal,’ he gave as an example Berkshire Hathaway’s BNSF Railway.
‘The government doesn’t own the assets of the business,’ Buffett said. ‘We own 100 percent of the assets of BNSF, but we don’t own 100 percent of the profits. And we went from 65 to 79 percent of the profits of BNSF and that is a more than 20 percent increase.'”