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Berkshire recorded a hefty windfall from the tax bill that Congress passed at the end of last year.

1. According to the article, the 2017 tax cut was 2/3 of Berkshire Hathaway’s 2017 Earnings. How much were the earnings and how much (in dollars) was the tax cut?
2. In the past, how did Berkshire grow? In other words, what was their mechanism for growth?
3. What has Warren Buffet’s goal been for Berkshire and did he accomplish this? Explain.
4. What is Buffet’s advice about a mega-catastrophe? Why is it important for his company?
5. What was the most interesting part of this article for you?

Eavis, P. and S. Grocer. (2018). Buffett’s Annual Letter: Berkshire Records $29 Billion Gain From Tax Law. The New York Times, Feb. 24 (Retrievable online at