Glenn Beck: More Government Spending Is Not the Answer




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While most of us were arguing with relatives or loosening our belts this Thanksgiving weekend, there was a story that popped up that most of us didn't pay attention to.

It was a story about Dubai and a mini-panic happened while we were sitting at our Thanksgiving tables. They don't celebrate Thanksgiving in the rest of the world, so this became a big deal while we lapsed into our football comas. This is an important story and nobody is explaining why it matters to us.

Dubai is Vegas on steroids. There's a six-star hotel — I don't even know what that means, but it sounds awesome — where the cheapest room right now, costs almost $1,600 per night.

They built all those houses in the Gulf in the shape of the symbol of Dubai; they created man-made islands to do it. Imagine us making houses on islands we built, in the shape of the presidential seal out in the Gulf of Mexico!

The have indoor snow skiing in the sizzling heat of the Middle East.

These are the only people in the world who make us look Amish. When our banks were in trouble we went knocking on their door and now they are going belly up?

Uh-oh.

Aren't they from a well-off part of the world right now? And if they have run out of money on their lifestyle-modeled after us? How much more time do we have?

Let's look at Dubai and see what their problems are:

• They have massive debt

• They over-speculated, thinking the market would never turn sour

• They continued to spend after the world economy started changing

• They do nothing with their own domestic energy and now they want a bailout

By the way, everything I just listed is happening right now in California as well.

Here is where it affects you because, again, the world markets freaked out over Dubai World's problems and California is in the same situation.

Let's start here: Dubai World has a GDP of $75 billion a year; California's GDP is $1.8 trillion — the eighth largest in the world, ahead of major countries like Italy. What happens when the truth of what's going on in California becomes apparent to the rest of the country and the world?

When news of the credit risks in Dubai were announced the Dow Jones fell 154 points. Again, California is the eighth largest economy in the world with a GDP of $1.8 trillion.

California is now reportedly up to $130 billion in debt. They're handing out IOUs at tax time. They are proposing new 10 percent taxes, called "forced loans." The energy shuts off every other week. Fires rage because they refuse to clear the underbrush. And now they have just proposed another $11 trillion in debt through a bond issue even though California's state comptroller says they can't afford more debt.

Dubai should have put on brakes. California should put on brakes. All of America should put on brakes, but no one is.

Government spending, incredibly, is set to increase through 2011. Our deficit is $12.2 trillion today and by 2018 it's projected to be over $24 trillion — and that's if everything goes well.

Since I've brought this up and have dared talk about accountability, I'll of course be ridiculed by those in power and so will you, if you're concerned about these spending policies. But they have been saying that big government spending wasn't crazy for a long time.

Henry Morgenthau, who served as Roosevelt's treasury secretary during FDR's administration, said at the time: "We are spending more money than we have ever spent before and it does not work.... We have never made good on our promises.... I say after eight years of this administration we have just as much unemployment as when we started... and an enormous debt to boot."

It took a World War to get us out of that mess; let's not go down that path again.

At the peak of government spending during the worst financial crisis in our history — the Great Depression — we only spent 4.3 percent of GDP. This year, President Obama will spend 26 percent of GDP. This year will be the largest government expansion since the height of the Korean War.

But this is not solely an Obama problem; federal spending is up 57 percent since 2001. Obama is just putting his foot on the accelerator. And you have to ask: why? It hasn't worked in Dubai. It's not working in America or California. And it hasn't worked in Greece. It hasn't worked in Ireland. It didn't work in Iceland. It won't work here.

What they are not reporting in Greece or Ireland is the unrest and the amount of violence because the people's money has been squandered by out-of-control politicians. The people's future has been destroyed by greedy governments, in bed with big business.

The New York Times just reported that one out of every 8 adults and one out of every four children get at least some of their food from food stamps. That's more than 36 million people. That sounds like we are headed down the same road as Ireland, Greece and Iceland. When you combine no jobs with hunger and an unresponsive government, you have a recipe for potential disaster.

So how do you fix it?

History has proven over and over again — and so has the Post Office, for that matter — that government is not the answer. You need to unleash the people. The entrepreneurs. And if you are wondering how it is that the government can't see that — how they can be pondering even bigger stimulus packages as they stare the failure of the first one right in the face — I'll show you.

Here are the past presidents and the number of appointees in their Cabinets with private sector experience -- folks that have done more than write on the chalkboard; they've been out there, in the real world.

Let's compare President Nixon -- he's over 50 percent -- with President Obama: Under 10 percent of his appointees have any experience in the private sector.

The solutions will never come from government; government is the problem. Universities are not there to teach you what to think, but how to think — so that you, as the entrepreneur, will go into the real world and think outside the box.

The entire idea of this country is to build a better mousetrap. Someone is at home screaming in their underwear, "I have the answer!" OK, first, put your pants on because that's always a good safety tip before changing the world. Then, get up and do it.

The individual with the crazy idea has brought the world the light bulb and the elevator; we have fundamentally changed the world through the power of the individual. Government will never do it better — they are incapable.

We have always been the country of the underdog. But we have become the country cheering for the guys who have the giant Death Star, instead of rooting for the cute little Ewoks. We are for the little guy! At least we used to be and I believe, still are.

— Watch Glenn Beck weekdays at 5p & 2a ET on Fox News Channel

In light of the national conversation surrounding the rights of free speech, religion and self-defense, Mercury One is thrilled to announce a brand new initiative launching this Father's Day weekend: a three-day museum exhibition in Dallas, Texas focused on the rights and responsibilities of American citizens.

This event seeks to answer three fundamental questions:

  1. As Americans, what responsibility do we shoulder when it comes to defending our rights?
  2. Do we as a nation still agree on the core principles and values laid out by our founding fathers?
  3. How can we move forward amidst uncertainty surrounding the intent of our founding ideals?

Attendees will be able to view historical artifacts and documents that reveal what has made America unique and the most innovative nation on earth. Here's a hint: it all goes back to the core principles and values this nation was founded on as laid out in the Declaration of Independence and the Bill of Rights.

Exhibits will show what the world was like before mankind had rights and how Americans realized there was a better way to govern. Throughout the weekend, Glenn Beck, David Barton, Stu Burguiere, Doc Thompson, Jeffy Fisher and Brad Staggs will lead private tours through the museum, each providing their own unique perspectives on our rights and responsibilities.

Schedule a private tour or purchase general admission ticket below:

Dates:
June 15-17

Location:

Mercury Studios

6301 Riverside Drive, Irving, TX 75039

Learn more about the event here.

About Mercury One: Mercury One is a 501(c)(3) charity founded in 2011 by Glenn Beck. Mercury One was built to inspire the world in the same way the United States space program shaped America's national destiny and the world. The organization seeks to restore the human spirit by helping individuals and communities help themselves through honor, faith, courage, hope and love. In the words of Glenn Beck:

We don't stand between government aid and people in need. We stand with people in need so they no longer need the government

Some of Mercury One's core initiatives include assisting our nation's veterans, providing aid to those in crisis and restoring the lives of Christians and other persecuted religious minorities. When evil prevails, the best way to overcome it is for regular people to do good. Mercury One is committed to helping sustain the good actions of regular people who want to make a difference through humanitarian aid and education initiatives. Mercury One will stand, speak and act when no one else will.

Support Mercury One's mission to restore the human spirit by making an online donation or calling 972-499-4747. Together, we can make a difference.

What happened?

A New York judge ruled Tuesday that a 30-year-old still living in his parents' home must move out, CNN reported.

Failure to launch …

Michael Rotondo, who had been living in a room in his parents' house for eight years, claims that he is owed a six-month notice even though they gave him five notices about moving out and offered to help him find a place and to help pay for repairs on his car.

RELATED: It's sad 'free-range parenting' has to be legislated, it used to be common sense

“I think the notice is sufficient," New York State Supreme Court Judge Donald Greenwood said.

What did the son say?

Rotondo “has never been expected to contribute to household expenses, or assisted with chores and the maintenance of the premises, and claims that this is simply a component of his living agreement," he claimed in court filings.

He told reporters that he plans to appeal the “ridiculous" ruling.

Reform Conservatism and Reaganomics: A middle road?

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Senator Marco Rubio broke Republican ranks recently when he criticized the Tax Cuts and Jobs Act by stating that “there's no evidence whatsoever that the money's been massively poured back into the American worker." Rubio is wrong on this point, as millions of workers have received major raises, while the corporate tax cuts have led to a spike in capital expenditure (investment on new projects) of 39 percent. However, the Florida senator is revisiting an idea that was front and center in the conservative movement before Donald Trump rode down an escalator in June of 2015: reform conservatism.

RELATED: The problem with asking what has conservatism conserved

The "reformicons," like Rubio, supported moving away from conservative or supply-side orthodoxy and toward policies such as the expansion of the child and earned income tax credits. On the other hand, longstanding conservative economic theory indicates that corporate tax cuts, by lowering disincentives on investment, will lead to long-run economic growth that will end up being much more beneficial to the middle class than tax credits.

But asking people to choose between free market economic orthodoxy and policies guided towards addressing inequality and the concerns of the middle class is a false dichotomy.

Instead of advocating policies that many conservatives might dismiss as redistributionist, reformicons should look at the ways government action hinders economic opportunity and exacerbates income inequality. Changing policies that worsen inequality satisfies limited government conservatives' desire for free markets and reformicons' quest for a more egalitarian America. Furthermore, pushing for market policies that reduce the unequal distribution of wealth would help attract left-leaning people and millennials to small government principles.

Criminal justice reform is an area that reformicons and free marketers should come together around. The drug war has been a disaster, and the burden of this misguided government approach have fallen on impoverished minority communities disproportionately, in the form of mass incarceration and lower social mobility. Not only has the drug war been terrible for these communities, it's proved costly to the taxpayer––well over a trillion dollars has gone into the drug war since its inception, and $80 billion dollars a year goes into mass incarceration.

Prioritizing retraining and rehabilitation instead of overcriminalization would help address inequality, fitting reformicons' goals, and promote a better-trained workforce and lower government spending, appealing to basic conservative preferences.

Government regulations tend to disproportionately hurt small businesses and new or would-be entrepreneurs. In no area is this more egregious than occupational licensing––the practice of requiring a government-issued license to perform a job. The percentage of jobs that require licenses has risen from five percent to 30 percent since 1950. Ostensibly justified by public health concerns, occupational licensing laws have, broadly, been shown to neither promote public health nor improve the quality of service. Instead, they serve to provide a 15 percent wage boost to licensed barbers and florists, while, thanks to the hundreds of hours and expensive fees required to attain the licenses, suppressing low-income entrepreneurship, and costing the economy $200 billion dollars annually.

Those economic losses tend to primarily hurt low-income people who both can't start businesses and have to pay more for essential services. Rolling back occupational licenses will satisfy the business wing's desire for deregulation and a more free market and the reformicons' support for addressing income inequality and increasing opportunity.

The favoritism at play in the complex tax code perpetuates inequality.

Tax expenditures form another opportunity for common ground between the Rubio types and the mainstream. Tax deductions and exclusions, both on the individual and corporate sides of the tax code, remain in place after the Tax Cuts and Jobs Act. Itemized deductions on the individual side disproportionately benefit the wealthy, while corporate tax expenditures help well-connected corporations and sectors, such as the fossil fuel industry.

The favoritism at play in the complex tax code perpetuates inequality. Additionally, a more complicated tax code is less conducive to economic growth than one with lower tax rates and fewer exemptions. Therefore, a simpler tax code with fewer deductions and exclusions would not only create a more level playing field, as the reformicons desire, but also additional economic growth.

A forward-thinking economic program for the Republican Party should marry the best ideas put forward by both supply-siders and reform conservatives. It's possible to take the issues of income inequality and lack of social mobility seriously, while also keeping mainstay conservative economic ideas about the importance of less cumbersome regulations and lower taxes.

Alex Muresianu is a Young Voices Advocate studying economics at Tufts University. He is a contributor for Lone Conservative, and his writing has appeared in Townhall and The Daily Caller. He can be found on Twitter @ahardtospell.

Is this what inclusivity and tolerance look like? Fox News host Tomi Lahren was at a weekend brunch with her mom in Minnesota when other patrons started yelling obscenities and harassing her. After a confrontation, someone threw a drink at her, the moment captured on video for social media.

RELATED: Glenn Addresses Tomi Lahren's Pro-Choice Stance on 'The View'

On today's show, Pat and Jeffy talked about this uncomfortable moment and why it shows that supposedly “tolerant" liberals have to resort to physical violence in response to ideas they don't like.