We made one mistake in a story in which we said that — Woodward and Bernstein said — that there was a slush fund of $300,000 set up in the Committee to Re-elect the President, and it was controlled by Haldeman, and that one of the witnesses had testified to that slush fund to the grand jury investigating Watergate. ... It turned out that he hadn’t been asked, and that interested us a great deal, because if the prosecution wasn’t asking him those interesting questions, that suggested that there was a reason they weren’t, and the reason might be that they were trying to cover it up. Anyway, it took two days, and we got confirmation that there was, and in fact there was a slush fund of $750,000.

I got quite nice results in my one-question studies, but never wrote up any of the work, because I had set myself impossible standards: in order not to pollute the literature, I wanted to report only findings that I had replicated in detail at least once, and the replications were never quite perfect. I realized only gradually that my aspirations demanded more statistical power and therefore much larger samples than I was intuitively inclined to run. This observation also came in handy some time later.

about 95% of the experiments we do are total failures, and that’s because we’re out there on the leading edge of what’s possible, and most of the time it isn’t quite possible.

My first mistake, of course, was in buying control of Berkshire. Though I knew its business - textile manufacturing - to be unpromising, I was enticed to buy because the price looked cheap. Stock purchases of that kind had proved reasonably rewarding in my early years, though by the time Berkshire came along in 1965 I was becoming aware that the strategy was not ideal. If you buy a stock at a sufficiently low price, there will usually be some hiccup in the fortunes of the business that gives you a chance to unload at a decent profit, even though the long-term performance of the business may be terrible. I call this the "cigar butt" approach to investing. A cigar butt found on the street that has only one puff left in it may not offer much of a smoke, but the "bargain purchase" will make that puff all profit. Unless you are a liquidator, that kind of approach to buying businesses is foolish.

He was a little guy who was a great football player at Georgia Tech, and he just was indefatigable. He just would never, ever say die. He absolutely proved to me that persistence was a very big part of making it in life. I never forgot that lesson.

The most important piece of advice that I could give them is to take advantage of the tremendous reservoir of knowledge that’s out there today. Spend some time learning how the world has evolved. There are a lot of good lessons in history, and other peoples’ experiences in the past, that could be exactly the solution to the problem you’re looking for.

When I first met Sergeant Jackson I had grown a mustache and had taken up the affectation of smoking cigars, because I thought this made me look, you know, quite dashing and much older than my 22 years, or what have you. And the first thing that Sergeant Jackson did after I asked him to, in essence, take the insignia off, you know, just tell me straight up what I could do to improve my performance. And he told me, he said, “Well, the first thing, shave off that ridiculous mustache, and quite smoking the cigars — because you look absurd — and be yourself.” And I don’t think I ever forgot that. I don’t think I ever tried an affectation after that point in my life.