Warren Buffett comments on the latest budget deadlock

By Marc Castro

Oct 03, 2013 03:04 PM EDT

The billionaire chairman and CEO of Berkshire Hathaway, Inc, Warren Buffett said he is expecting Congress to find a resolution to the deadlock as to the US debt ceiling before serious harm befalls the country.

He made the remarks during an interview on CNBC, where he was quoted as saying, "We will go right up to the point of extreme idiocy, but we won't cross it."

There is a current deadlock between Republicans and Democrats on spending legislation. This lead to a partial government shutdown and the furloughing of nearly 800,000 federal employees. The debate also includes the raising of the government's borrowing authority. Without a decision on the debt ceiling by October 17 would lead to a default of the US loans, according to the Obama administration.

Buffett added, "If it goes one second beyond the debt limit, that will not do us in. If it goes a year beyond, I mean, that would be unbelievable."

He also called out the approach of some leading Republicans during the budget negotiations. He said, "When the United States government issues bonds, it says 'the full faith and credit of the United States, It didn't say 'the full faith and credit of the United States unless one political party is unhappy about some extraneous issue."

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