UPDATE 1-Money available, cheap, due to rate cuts -Buffett

(Adds comments on U.S. dollar, economic turmoil, details)

By Wojtek Dabrowski

TORONTO, Feb 6 (Reuters) - Funds remain available for borrowing and are quite cheap, given the interest rate cuts implemented by central bankers in recent months, billionaire investor Warren Buffett said on Wednesday.

"I wouldn't quite call it a credit crunch. Funds are available," Buffett said during a question and answer session at a business event. "Money is available, and it's really quite cheap because of the lowering of rates that has taken place."

Buffett said that what has taken place "is a re-pricing of risk and an unavailability of what I might call 'dumb money,' of which there was plenty around a year ago."

He said he continues to believe that the United States will do well economically over time, and said the U.S. dollar will continue to decline in coming years unless there are changes to the country's trade-deficit situation.

He said the current problems in the U.S. financial sector are in fact "poetic justice" for some of the financial institutions involved.

"It's sort of a little poetic justice, in that the people that brewed this toxic Kool-Aid found themselves drinking a lot of it in the end," he said in reference to some of the large investment banks that were involved in designing and marketing complex investments that have soured in recent months and have generated billions in losses.

Buffett was in Toronto to mark the opening of the Canadian expansion of Business Wire, a corporate-news dissemination firm owned by his Berkshire Hathaway Inc (BRKa.N)(BRKb.N) holding group.

($1=1.01 Canadian) (Reporting by Wojtek Dabrowski; Editing by Rob Wilson)