Economist: Unstoppable economic collapse is imminent

June 04, 2012

Writer

It's the end of the world as we know it...and Glenn finally isn't the only one saying it! Raoul Paul, who previously co-managed the GLG Global Macro Fund and is a Goldman Sachs alum, has a pretty bleak prediction for what is coming to Europe and the rest of the world. What does he think is coming? The worst economic shock the world has ever seen and, even worse, there's nothing we can do to stop it!

See the Pal's presentation HERE

"The world has no engine of growth with most of the G-20 countries approaching stall speed at the same time. Now, what is that? G-20, that's the 20 biggest countries in the world. Approaching stall speed. We have no engine of growth. Ask yourself this question: What is the engine of growth in the United States? Currently it is being set up that the engine of growth is the stimulus package, is the United States government. Is that real growth? I contend　- and you know the answer　- no," Glenn explained.

"The western world is about to enter a second recession in an ongoing depression. For the first time since the 1930's, we're entering a recession. Before industrial production, durable goods orders, employment, and private sector GDP have made back their previous highs. Hear that again. For the first time since the 1930's before we've made if back up on our feet. Usually we have a recession, it starts to grow again, and then we come back down. This is　-- this is a new trend."

"Fact: This will to be the lowest cyclical peak in GDP growth in G-7 history. These are the weakest ever foundations on which to enter a recession."

"The problem is down to one thing: Debt."

"This is significant. The 10 largest debtor nations on earth have total debts of over 300% of world GDP. History tells us that when sovereign defaults occur, what does that mean? Sovereign defaults? Sovereign default, if a sovereign default occurs, that means Greece goes out of business, Spain goes out of business, Portugal goes out of business. The Euro is a bubble. It will crash," Glenn said.

"History tells us when sovereign defaults occur, they come in a series of defaults. We need to understand history in order to grasp the present. The domino effect. In history when you have a default, one falls into the other and the other and the other. So, he says, what is coming? EU sovereign debt defaults. UK sovereign default. Japan sovereign default. South Korea, sovereign default. China, sovereign default."

"So, he says all of these will default and the biggest banking crisis in world history. Then he's got a few of the charts saying the end of finance, the end of Europe, the end of world trade. Then he has a picture of a hurricane and the eye of the hurricane. He says, We are here. We don't know exactly what is to come, but we can all join the very few dots from where we are now to the collapse of the first major bank, with very limited room for government bailouts.Why is that? Do you remember when we spoke two　-- four years ago now, maybe almost close to five, we said that there would come a time that these bailouts wouldn't work, that they would throw money at the system, and then I said, When they do this and it doesn't change any of the factors, they have to immediately shut the faucets off and go the other way. Otherwise, they'll continue to print too much money, they'll digitize too much money. They'll flood the market with too much money and the engine will stall because you flooded it or you will have a rocket ship on your hands and you will have hyperinflation and you'll have out of control interest rates eventually. With very limited room for government bailouts, meaning we've got nothing less　-- nothing left now. There's no bullets in the gun except meaningless printed. We can easily join the next dots from the first bank closure to the collapse of the whole European banking system and then to bankruptcy of the governments themselves. There are almost no breaks in the system to stop this and almost no one realizes the seriousness of this situation."

"The problem is not government debt, per se. Listen carefully. The real problem is The 70 trillion in G-10 debt, the top 10 governments around the world, The 70 trillion is the collateral for $700　trillion in derivatives. That number equates to 1200% of global GDP and rests on very, very weak foundations."

"Imagine the UK defaulting. What do you think would happen to Japan and China? Would they not be next? And do you think that the U.S. would survive unscathed? This is the end of the fractional reserve banking system and of fiat money. It is the big reset. This is what we've been talking about for quite some time. The big reset. This is what George Soros has wanted, the big reset."

"When the system has to be rebooted, who are the players that are designing that? This is why when people say to you, George Soros, why would anybody want this to happen? Because if you know the reset is coming, anyway, if you know it's unsustainable, then you want to be the one to design what the future looks like."

Glenn continued to read, "From a timing perspective, I think 2012 and 2013 will usher in the end. You have to understand that the global banking collapse and massive defaults would bring about the biggest economic shock the world has ever seen. There would be no trade finance, no shipping finance, no finance for farmers, no leasing, no bond market, no nothing. The markets are, frankly, at a terrifying point of realizing that there is nothing they can do including quantitative easing to prevent this collapse. The next phase, as Spain and Italy go, will be to see nationalization of banks　-- the nationalization of banks and the assumption of bank debts on government balance sheets. This is what we talked to you about on Friday. We have Tim knee Geithner coming out and saying, The governments have to take this debt on. Then expect to be shut out of financial markets. Bonds will be stuck at 1% in the U.S., Germany, and UK, and Japan for this phase. The whole bond market will be dead. That means nobody wants to invest in companies. Short selling on bonds will be banned. Short selling stocks will be banned. CBS, banned. Short futures, banned. Put options, banned. All that will be left will be the dollar and gold. As defaults in governments and banks come to fruition, we risk a closure of the stock market entirely and a closure of the banking system as occurred in Argentina in 2001, Russia in 1998, and Brazil in 1999. We have around six months of trading in western markets to protect ourselves or make enough money to offset future losses. Spend your time looking at the risks of custody safekeeping, counterparty, et cetera. Assume that no one and nothing is safe. After that put your tin helmet on and hide until the new system emerges. I wish I could see another option with an equally high probability, but I can't find one. All we can do is hope that I'm wrong, but either way, a new system will emerge and it will open up a whole new set of opportunities, but we are going back 40 years in time and 1500 to 3000 years in trading."

"This, again, from not a schlub. This again coming on the heels of what George Soros said this weekend. George Soros said that he felt the EU had three months. They're saying the same thing."

"Now, the question is: What do you do about it? What does this all mean? That's what this whole week is about on the Glenn Beck Program and GBTV. Four steps. And I want you to seriously consider them with your family. I want you to seriously consider actually getting involved more than you already are," Glenn said. "I promise you by the end of the week that you will see that there is a way out and all you have to do is not panic. The first step is to commit, not to tune out because you can't handle it. You can, you will, and you'll lead the way out."

What our response to Israel reveals about us

JOSEPH PREZIOSO / Contributor | Getty Images

I have been honored to receive the Defender of Israel Award from Prime Minister Netanyahu.

The Jerusalem Post recently named me one of the strongest Christian voices in support of Israel.

And yet, my support is not blind loyalty. It’s not a rubber stamp for any government or policy. I support Israel because I believe it is my duty — first as a Christian, but even if I weren’t a believer, I would still support her as a man of reason, morality, and common sense.

Because faith isn’t required to understand this: Israel’s existence is not just about one nation’s survival — it is about the survival of Western civilization itself.

It is a lone beacon of shared values in the Middle East. It is a bulwark standing against radical Islam — the same evil that seeks to dismantle our own nation from within.

And my support is not rooted in politics. It is rooted in something simpler and older than politics: a people’s moral and historical right to their homeland, and their right to live in peace.

Israel has that right — and the right to defend herself against those who openly, repeatedly vow her destruction.

Let’s make it personal: if someone told me again and again that they wanted to kill me and my entire family — and then acted on that threat — would I not defend myself? Wouldn’t you? If Hamas were Canada, and we were Israel, and they did to us what Hamas has done to them, there wouldn’t be a single building left standing north of our border. That’s not a question of morality.

That’s just the truth. All people — every people — have a God-given right to protect themselves. And Israel is doing exactly that.

My support for Israel’s right to finish the fight against Hamas comes after eighty years of rejected peace offers and failed two-state solutions. Hamas has never hidden its mission — the eradication of Israel. That’s not a political disagreement.

That’s not a land dispute. That is an annihilationist ideology. And while I do not believe this is America’s war to fight, I do believe — with every fiber of my being — that it is Israel’s right, and moral duty, to defend her people.

Criticism of military tactics is fair. That’s not antisemitism. But denying Israel’s right to exist, or excusing — even celebrating — the barbarity of Hamas? That’s something far darker.

We saw it on October 7th — the face of evil itself. Women and children slaughtered. Babies burned alive. Innocent people raped and dragged through the streets. And now, to see our own fellow citizens march in defense of that evil… that is nothing short of a moral collapse.

If the chants in our streets were, “Hamas, return the hostages — Israel, stop the bombing,” we could have a conversation.

But that’s not what we hear.

What we hear is open sympathy for genocidal hatred. And that is a chasm — not just from decency, but from humanity itself. And here lies the danger: that same hatred is taking root here — in Dearborn, in London, in Paris — not as horror, but as heroism. If we are not vigilant, the enemy Israel faces today will be the enemy the free world faces tomorrow.

This isn’t about politics. It’s about truth. It’s about the courage to call evil by its name and to say “Never again” — and mean it.

And you don’t have to open a Bible to understand this. But if you do — if you are a believer — then this issue cuts even deeper. Because the question becomes: what did God promise, and does He keep His word?

He told Abraham, “I will bless those who bless you, and curse those who curse you.” He promised to make Abraham the father of many nations and to give him “the whole land of Canaan.” And though Abraham had other sons, God reaffirmed that promise through Isaac. And then again through Isaac’s son, Jacob — Israel — saying: “The land I gave to Abraham and Isaac I give to you and to your descendants after you.”

That’s an everlasting promise.

And from those descendants came a child — born in Bethlehem — who claimed to be the Savior of the world. Jesus never rejected His title as “son of David,” the great King of Israel.

He said plainly that He came “for the lost sheep of the house of Israel.” And when He returns, Scripture says He will return as “the Lion of the tribe of Judah.” And where do you think He will go? Back to His homeland — Israel.

Tamir Kalifa / Stringer | Getty Images

And what will He find when He gets there? His brothers — or his brothers’ enemies? Will the roads where He once walked be preserved? Or will they lie in rubble, as Gaza does today? If what He finds looks like the aftermath of October 7th, then tell me — what will be my defense as a Christian?

Some Christians argue that God’s promises to Israel have been transferred exclusively to the Church. I don’t believe that. But even if you do, then ask yourself this: if we’ve inherited the promises, do we not also inherit the land? Can we claim the birthright and then, like Esau, treat it as worthless when the world tries to steal it?

So, when terrorists come to slaughter Israelis simply for living in the land promised to Abraham, will we stand by? Or will we step forward — into the line of fire — and say,

“Take me instead”?

Because this is not just about Israel’s right to exist.

It’s about whether we still know the difference between good and evil.

It’s about whether we still have the courage to stand where God stands.

And if we cannot — if we will not — then maybe the question isn’t whether Israel will survive. Maybe the question is whether we will.

When did Americans start cheering for chaos?

MATHIEU LEWIS-ROLLAND / Contributor | Getty Images

Every time we look away from lawlessness, we tell the next mob it can go a little further.

Chicago, Portland, and other American cities are showing us what happens when the rule of law breaks down. These cities have become openly lawless — and that’s not hyperbole.

When a governor declares she doesn’t believe federal agents about a credible threat to their lives, when Chicago orders its police not to assist federal officers, and when cartels print wanted posters offering bounties for the deaths of U.S. immigration agents, you’re looking at a country flirting with anarchy.

Two dangers face us now: the intimidation of federal officers and the normalization of soldiers as street police. Accept either, and we lose the republic.

This isn’t a matter of partisan politics. The struggle we’re watching now is not between Democrats and Republicans. It’s between good and evil, right and wrong, self‑government and chaos.

Moral erosion

For generations, Americans have inherited a republic based on law, liberty, and moral responsibility. That legacy is now under assault by extremists who openly seek to collapse the system and replace it with something darker.

Antifa, well‑financed by the left, isn’t an isolated fringe any more than Occupy Wall Street was. As with Occupy, big money and global interests are quietly aligned with “anti‑establishment” radicals. The goal is disruption, not reform.

And they’ve learned how to condition us. Twenty‑five years ago, few Americans would have supported drag shows in elementary schools, biological males in women’s sports, forced vaccinations, or government partnerships with mega‑corporations to decide which businesses live or die. Few would have tolerated cartels threatening federal agents or tolerated mobs doxxing political opponents. Yet today, many shrug — or cheer.

How did we get here? What evidence convinced so many people to reverse themselves on fundamental questions of morality, liberty, and law? Those long laboring to disrupt our republic have sought to condition people to believe that the ends justify the means.

Promoting “tolerance” justifies women losing to biological men in sports. “Compassion” justifies harboring illegal immigrants, even violent criminals. Whatever deluded ideals Antifa espouses is supposed to somehow justify targeting federal agents and overturning the rule of law. Our culture has been conditioned for this moment.

The buck stops with us

That’s why the debate over using troops to restore order in American cities matters so much. I’ve never supported soldiers executing civilian law, and I still don’t. But we need to speak honestly about what the Constitution allows and why. The Posse Comitatus Act sharply limits the use of the military for domestic policing. The Insurrection Act, however, exists for rare emergencies — when federal law truly can’t be enforced by ordinary means and when mobs, cartels, or coordinated violence block the courts.

Even then, the Constitution demands limits: a public proclamation ordering offenders to disperse, transparency about the mission, a narrow scope, temporary duration, and judicial oversight.

Soldiers fight wars. Cops enforce laws. We blur that line at our peril.

But we also cannot allow intimidation of federal officers or tolerate local officials who openly obstruct federal enforcement. Both extremes — lawlessness on one side and militarization on the other — endanger the republic.

The only way out is the Constitution itself. Protect civil liberty. Enforce the rule of law. Demand transparency. Reject the temptation to justify any tactic because “our side” is winning. We’ve already seen how fear after 9/11 led to the Patriot Act and years of surveillance.

KAMIL KRZACZYNSKI / Contributor | Getty Images

Two dangers face us now: the intimidation of federal officers and the normalization of soldiers as street police. Accept either, and we lose the republic. The left cannot be allowed to shut down enforcement, and the right cannot be allowed to abandon constitutional restraint.

The real threat to the republic isn’t just the mobs or the cartels. It’s us — citizens who stop caring about truth and constitutional limits. Anything can be justified when fear takes over. Everything collapses when enough people decide “the ends justify the means.”

We must choose differently. Uphold the rule of law. Guard civil liberties. And remember that the only way to preserve a government of, by, and for the people is to act like the people still want it.

This article originally appeared on TheBlaze.com.

Stand with Voddie Baucham’s family in this time of loss

In the quiet aftermath of a profound loss, the Christian community mourns the unexpected passing of Dr. Voddie Baucham, a towering figure in evangelical circles. Known for his defense of biblical truth, Baucham, a pastor, author, and theologian, left a legacy on family, faith, and opposing "woke" ideologies in the church. His book Fault Lines challenged believers to prioritize Scripture over cultural trends. Glenn had Voddie on the show several times, where they discussed progressive influences in Christianity, debunked myths of “Christian nationalism,” and urged hope amid hostility.

The shock of Baucham's death has deeply affected his family. Grieving, they remain hopeful in Christ, with his wife, Bridget, now facing the task of resettling in the US without him. Their planned move from Lusaka, Zambia, was disrupted when their home sale fell through last December, resulting in temporary Airbnb accommodations, but they have since secured a new home in Cape Coral that requires renovations. To ensure Voddie's family is taken care of, a fundraiser is being held to raise $2 million, which will be invested for ongoing support, allowing Bridget to focus on her family.

We invite readers to contribute prayerfully. If you feel called to support the Bauchams in this time of need, you can click here to donate.

We grieve and pray with hope for the Bauchams.

May Voddie's example inspire us.

Overcoming loneliness: Connecting in a disconnected world

Loneliness isn’t just being alone — it’s feeling unseen, unheard, and unimportant, even amid crowds and constant digital chatter.

Loneliness has become an epidemic in America. Millions of people, even when surrounded by others, feel invisible. In tragic irony, we live in an age of unparalleled connectivity, yet too many sit in silence, unseen and unheard.

I’ve been experiencing this firsthand. My children have grown up and moved out. The house that once overflowed with life now echoes with quiet. Moments that once held laughter now hold silence. And in that silence, the mind can play cruel games. It whispers, “You’re forgotten. Your story doesn’t matter.”

We are unique in our gifts, but not in our humanity. Recognizing this shared struggle is how we overcome loneliness.

It’s a lie.

I’ve seen it in others. I remember sitting at Rockefeller Center one winter, watching a woman lace up her ice skates. Her clothing was worn, her bag battered. Yet on the ice, she transformed — elegant, alive, radiant.

Minutes later, she returned to her shoes, merged into the crowd, unnoticed. I’ve thought of her often. She was not alone in her experience. Millions of Americans live unseen, performing acts of quiet heroism every day.

Shared pain makes us human

Loneliness convinces us to retreat, to stay silent, to stop reaching out to others. But connection is essential. Even small gestures — a word of encouragement, a listening ear, a shared meal — are radical acts against isolation.

I’ve learned this personally. Years ago, a caller called me “Mr. Perfect.” I could have deflected, but I chose honesty. I spoke of my alcoholism, my failed marriage, my brokenness. I expected judgment. Instead, I found resonance. People whispered back, “I’m going through the same thing. Thank you for saying it.”

Our pain is universal. Everyone struggles with self-doubt and fear. Everyone feels, at times, like a fraud. We are unique in our gifts, but not in our humanity. Recognizing this shared struggle is how we overcome loneliness.

We were made for connection. We were built for community — for conversation, for touch, for shared purpose. Every time we reach out, every act of courage and compassion punches a hole in the wall of isolation.

You’re not alone

If you’re feeling alone, know this: You are not invisible. You are seen. You matter. And if you’re not struggling, someone you know is. It’s your responsibility to reach out.

Loneliness is not proof of brokenness. It is proof of humanity. It is a call to engage, to bear witness, to connect. The world is different because of the people who choose to act. It is brighter when we refuse to be isolated.

We cannot let silence win. We cannot allow loneliness to dictate our lives. Speak. Reach out. Connect. Share your gifts. By doing so, we remind one another: We are all alike, and yet each of us matters profoundly.

In this moment, in this country, in this world, what we do matters. Loneliness is real, but so is hope. And hope begins with connection.