Glenn Beck: Dems raise debt ceiling


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GLENN: Oh, man, all right. So here is the, here's the latest, if I may. On its face, the probability of the U.S. defaulting on its spiraling debts seems highly unlikely. But that's not what the market now thinks. The price of insurance against a default, using derivatives uh oh, there's a bad word, using derivatives known as credit default swaps uh oh, there are three words that got us into trouble has jumped by more than 50% in the private market in recent months. According to CMA Datavision in London, a specialist in these kinds of contracts, it will now cost you .34% of the principal per year to buy default insurance on U.S. Government bonds. If you held $1 million in treasuries, insuring against the default will cost you $3400 for the year. Just a few months back, insuring those bonds would have cost less than $2,000 a year.

Let me explain this. You buy these, you buy an insurance policy. It's like you buy an insurance policy for your house. You're going to have to pay it off. You are going to have to you know, you are going to be stuck with it. So if something happens to it, you want to make sure you can get your investment, right? It's the same thing, except the only way your houses burn down is usually, you know, there has to be an electrical problem or a toaster or, you know, there's an arsonist or whatever. When you have a million dollars in treasuries, you just have to worry about the arsonist that is the United States congress, treasury, the Fed and the president. I've been warning you about the arsony that is arsony? Larceny.

STU: I like that because that is

GLENN: It should be arsony actually because it is larceny and arson at the same time combined.

STU: I like it, yeah.

GLENN: Arsony, larceny. Arsony. You have to worry about the arsonists that are burning down the U.S. dollar. So you would have to buy insurance for that. Well, you don't really need a lot of insurance. The U.S. dollar ain't going anywhere... right?

Let me continue to read: For investors the greatest danger is not that America could formally default on its debts. Why is that? Why is there no fear that America will default on their debts? We're concerned that banks would default, homeowners would default, California could default. Why doesn't the United States, why is no one worried that the United States will default on their debts?

PAT: We have printing presses.

GLENN: Exactly right. Governments don't default because they can print the money. For investors the greatest danger is not that America could formally default on its debts. It's that the government may informally default by unleashing inflation. It's hard now to see any other outcome. Anyone holding long term treasury bonds should demand pretty high listen to this. Now, here's the other shoe to fall. Make sure you have it. Investors are now saying this is risky. The insurance companies are now saying we need more money to insure a million dollars worth of treasuries because it's becoming more risky that the United States government will informally default by printing too much money and hyperinflation. Remember, I told you this at least a year ago, maybe two years ago. Read the Weimar Republic. That was insane. That was a conspiracy theory. That will never happy. Now the people if you believe in the free market, the people who have their money at stake are now saying, "Maybe we should increase that. Anyone holding long term interest treasury bonds should demand pretty high annual interest rates to compensate for the risks. So in other words, what are they saying? Don't take a 30 year treasury at 4.4% interest rate. I need an 8% interest rate, or whatever, 6%, 8%, 10%, 12%. Whatever the people who buy 30 year bonds and we're not talking about you.

PAT: Can I get 1600%?

GLENN: Yeah, I know. Talking, not talking about you. We're talking about the people who buy them in bulk. Who are those people? Remember, we now, most of our debt, or at least most of our new debt is on six can you imagine getting a six month revolving loan? These aren't 30 years. These are six months. So every six months we have to go and ask the bank basically, China, for another loan: Okay, could you guys carry this over another six months? Oh, and by the way, we want to add this to it. We're now trying to get anybody to buy longer term treasuries. What they're saying is don't do it. If you're going to try, if you are going to hold that money for 30 years, do you think 4% is worth that risk? Demand more. Why is that a bad thing? Because that means to borrow money, we have to pay it's just like your home loan. If you get a mortgage and it's 4% interest, that's what the yield is. This is our mortgage for our country. 4% interest, okay, that's not bad. For a 30 year house loan? Okay, that's good. I'll pay 4%. Now, are you going to be able to afford that house at 6%? 8%? 10%? The people who can buy the house, especially if you're somebody who you're already mortgaged to the limit, you just don't have any more money, what caused this financial problem? The reset of the loan. The reset of the mortgage interest rate. That's when people started losing their home. That's what this means. The 30 year treasury. The 10 year treasury. It's too low of an interest rate, and the world needs to demand a higher interest rate. That means anything they're conning you into believing that we can now afford, the loans are about to reset. And when they do, can we afford to make that payment? The answer is no. If you look at what our interest payment will be, you read about it in Common Sense, it is worse than what I described in Common Sense. That's now out. There's two million copies now that have sold. Common Sense is almost at the two million books sold. That doesn't happen. Two million books sold. I described that when people read it back in the summer, people said, that can't be right. I looked at some of the research: That can't be right. It's now worse because of the things that we have done. And those aren't my numbers. Those are from, like, whitehouse.gov. What I wrote about in Common Sense six or eight months ago was that we are going to have an interest payment about the size of the stimulus package every single year, an interest payment. If I said at the time, if everything goes well, we are guaranteed by, I think it's 2019, to pay almost $800 billion every month in interest alone. That's one stimulus package every single year... if the interest rate doesn't go up. The interest rate is going to go up. I am having now the same conversation that I had in 2003? I remember it vividly. I was in Philadelphia. And Stu, I was looking at you just like I'm looking at you now and said, help me out with the math. That doesn't work. Because if you can only afford the payment of that house now when there is 0% interest, what happens when you have 4% interest? Or 6 or 8. Oh, don't worry, things will get better. Don't do it. Do you remember? I am now having the same conversation with you about our federal government. We can afford this no, no, we cannot afford this. We cannot afford what we have now. We are bankrupt. The only reason why we don't, you don't see the stories on the news is because we have a printing press! We are in worse shape than California, but we have a printing press! And we haven't had an upgrade in our interest rates, but the banks of the world, the Chinas of the world, the individual investors of the world are going to begin to demand soon higher interest rates. When that happens, our loans reset. Then what do we do? There will only be one thing we can do: Inflate the money. Or... tax at, what, 80% for everyone? Remember, to pay off just the first debt, the first $12 trillion which next year will be $14.4 trillion, to pay the first $12 trillion, we have to take last year's Fortune 500 companies' profit, all 500 of them, all of the profit that they made and seize every dollar of that profit, for 145 years. That would pay off the first $12 trillion. We have unfunded liabilities, which means we have no funding for it whatsoever. The $12 trillion is what we owe China. We owe them that. What we have promised we are going to give people is $106 trillion. Please, please, buy gold! Sell everything you have and just buy gold! Buy it now! It's crazy!

STU: (Laughing).

GLENN: Please, get out of debt and look at the world with different eyes. Somebody's got to be a leader. Somebody's got to be a leader.

From the moment the 33-year-old Thomas Jefferson arrived at the Continental Congress in Philadelphia in 1776, he was on the radical side. That caused John Adams to like him immediately. Then the Congress stuck Jefferson and Adams together on the five-man committee to write a formal statement justifying a break with Great Britain, and their mutual admiration society began.

Jefferson thought Adams should write the Declaration. But Adams protested, saying, “It can't come from me because I'm obnoxious and disliked." Adams reasoned that Jefferson was not obnoxious or disliked, therefore he should write it. Plus, he flattered Jefferson, by telling him he was a great writer. It was a master class in passing the buck.

So, over the next 17 days, Jefferson holed up in his room, applying his lawyer skills to the ideas of the Enlightenment. He borrowed freely from existing documents like the Virginia Declaration of Rights. He later wrote that “he was not striving for originality of principle or sentiment." Instead, he hoped his words served as “an expression of the American mind."

It's safe to say he achieved his goal.

The five-man committee changed about 25 percent of Jefferson's first draft of the Declaration before submitting it to Congress. Then, Congress altered about one-fifth of that draft. But most of the final Declaration's words are Jefferson's, including the most famous passage — the Preamble — which Congress left intact. The result is nothing less than America's mission statement, the words that ultimately bind the nation together. And words that we desperately need to rediscover because of our boiling partisan rage.

The Declaration is brilliant in structure and purpose. It was designed for multiple audiences: the King of Great Britain, the colonists, and the world. And it was designed for multiple purposes: rallying the troops, gaining foreign allies, and announcing the creation of a new country.

The Declaration is structured in five sections: the Introduction, Preamble, the Body composed of two parts, and the Conclusion. It's basically the most genius breakup letter ever written.

In the Introduction, step 1 is the notificationI think we need to break up. And to be fair, I feel I owe you an explanation...

When in the Course of human events, it becomes necessary for one people to dissolve the political bands which have connected them with another…

The Continental Congress felt they were entitled by “the Laws of Nature and of Nature's God" to “dissolve the political bands," but they needed to prove the legitimacy of their cause. They were defying the world's most powerful nation and needed to motivate foreign allies to join the effort. So, they set their struggle within the entire “Course of human events." They're saying, this is no petty political spat — this is a major event in world history.

Step 2 is declaring what you believe in, your standardsHere's what I'm looking for in a healthy relationship...

This is the most famous part of the Declaration; the part school children recite — the Preamble:

We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable Rights, that among these are Life, Liberty and the pursuit of Happiness.

That's as much as many Americans know of the Declaration. But the Preamble is the DNA of our nation, and it really needs to be taken as a whole:

That to secure these rights, Governments are instituted among Men, deriving their just powers from the consent of the governed, That whenever any Form of Government becomes destructive of these ends, it is the Right of the People to alter or to abolish it, and to institute new Government, laying its foundation on such principles and organizing its powers in such form, as to them shall seem most likely to effect their Safety and Happiness.

The Preamble takes us through a logical progression: All men are created equal; God gives all humans certain inherent rights that cannot be denied; these include the rights to life, liberty, and the pursuit of happiness; to protect those rights, we have governments set up; but when a government fails to protect our inherent rights, people have the right to change or replace it.

Government is only there to protect the rights of mankind. They don't have any power unless we give it to them. That was an extraordinarily radical concept then and we're drifting away from it now.

The Preamble is the justification for revolution. But note how they don't mention Great Britain yet. And again, note how they frame it within a universal context. These are fundamental principles, not just squabbling between neighbors. These are the principles that make the Declaration just as relevant today. It's not just a dusty parchment that applied in 1776.

Step 3 is laying out your caseHere's why things didn't work out between us. It's not me, it's you...

This is Part 1 of the Body of the Declaration. It's the section where Jefferson gets to flex his lawyer muscles by listing 27 grievances against the British crown. This is the specific proof of their right to rebellion:

He has obstructed the administration of justice...

For imposing taxes on us without our consent...

For suspending our own legislatures...

For quartering large bodies of armed troops among us...

Again, Congress presented these “causes which impel them to separation" in universal terms to appeal to an international audience. It's like they were saying, by joining our fight you'll be joining mankind's overall fight against tyranny.

Step 4 is demonstrating the actions you took I really tried to make this relationship work, and here's how...

This is Part 2 of the Body. It explains how the colonists attempted to plead their case directly to the British people, only to have the door slammed in their face:

In every stage of these Oppressions We have Petitioned for Redress in the most humble terms: Our repeated Petitions have been answered only by repeated injury...

They too have been deaf to the voice of justice... We must, therefore... hold them, as we hold the rest of mankind, Enemies in War, in Peace Friends.

This basically wrapped up America's argument for independence — we haven't been treated justly, we tried to talk to you about it, but since you refuse to listen and things are only getting worse, we're done here.

Step 5 is stating your intent — So, I think it's best if we go our separate ways. And my decision is final...

This is the powerful Conclusion. If people know any part of the Declaration besides the Preamble, this is it:

...that all political connection between them and the State of Great Britain, is and ought to be totally dissolved...

They left no room for doubt. The relationship was over, and America was going to reboot, on its own, with all the rights of an independent nation.

And for the support of this Declaration, with a firm reliance on the protection of divine Providence, we mutually pledge to each other our Lives, our Fortunes and our sacred Honor.

The message was clear — this was no pitchfork mob. These were serious men who had carefully thought through the issues before taking action. They were putting everything on the line for this cause.

The Declaration of Independence is a landmark in the history of democracy because it was the first formal statement of a people announcing their right to choose their own government. That seems so obvious to us now, but in 1776 it was radical and unprecedented.

In 1825, Jefferson wrote that the purpose of the Declaration was “not to find out new principles, or new arguments, never before thought of… but to place before mankind the common sense of the subject, in terms so plain and firm… to justify ourselves in the independent stand we are compelled to take."

You're not going to do better than the Declaration of Independence. Sure, it worked as a means of breaking away from Great Britain, but its genius is that its principles of equality, inherent rights, and self-government work for all time — as long as we actually know and pursue those principles.

On June 7, 1776, the Second Continental Congress met in Philadelphia at the Pennsylvania State House, better known today as Independence Hall. Virginia delegate Richard Henry Lee introduced a motion calling for the colonies' independence. The “Lee Resolution" was short and sweet:

Resolved, That these United Colonies are, and of right ought to be, free and independent States, that they are absolved from all allegiance to the British Crown, and that all political connection between them and the State of Great Britain is, and ought to be, totally dissolved.

Intense debate followed, and the Congress voted 7 to 5 (with New York abstaining) to postpone a vote on Lee's Resolution. They called a recess for three weeks. In the meantime, the delegates felt they needed to explain what they were doing in writing. So, before the recess, they appointed a five-man committee to come up with a formal statement justifying a break with Great Britain. They appointed two men from New England — Roger Sherman and John Adams; two from the middle colonies — Robert Livingston and Benjamin Franklin; and one Southerner — Thomas Jefferson. The responsibility for writing what would become the Declaration of Independence fell to Jefferson.

In the rotunda of the National Archives building in Washington, D.C., there are three original documents on permanent display: the Constitution, the Bill of Rights, and the Declaration of Independence. These are the three pillars of the United States, yet America barely seems to know them anymore. We need to get reacquainted — quickly.

In a letter to his friend John Adams in 1816, Jefferson wrote: “I like the dreams of the future, better than the history of the past."

America used to be a forward-looking nation of dreamers. We still are in spots, but the national attitude that we hear broadcast loudest across media is not looking toward the future with optimism and hope. In late 2017, a national poll found 59% of Americans think we are currently at the “lowest point in our nation's history that they can remember."

America spends far too much time looking to the past for blame and excuse. And let's be honest, even the Right is often more concerned with “owning the left" than helping point anyone toward the practical principles of the Declaration of Independence. America has clearly lost touch with who we are as a nation. We have a national identity crisis.

The Declaration of Independence is America's thesis statement, and without it America doesn't exist.

It is urgent that we get reacquainted with the Declaration of Independence because postmodernism would have us believe that we've evolved beyond the America of our founding documents, and thus they're irrelevant to the present and the future. But the Declaration of Independence is America's thesis statement, and without it America doesn't exist.

Today, much of the nation is so addicted to partisan indignation that "day-to-day" indignation isn't enough to feed the addiction. So, we're reaching into America's past to help us get our fix. In 2016, Democrats in the Louisiana state legislature tabled a bill that would have required fourth through sixth graders to recite the opening lines of the Declaration. They didn't table it because they thought it would be too difficult or too patriotic. They tabled it because the requirement would include the phrase “all men are created equal" and the progressives in the Louisiana legislature didn't want the children to have to recite a lie. Representative Barbara Norton said, “One thing that I do know is, all men are not created equal. When I think back in 1776, July the fourth, African Americans were slaves. And for you to bring a bill to request that our children will recite the Declaration, I think it's a little bit unfair to us. To ask our children to recite something that's not the truth. And for you to ask those children to repeat the Declaration stating that all men's are free. I think that's unfair."

Remarkable — an elected representative saying it wouldn't be fair for students to have to recite the Declaration because “all men are not created equal." Another Louisiana Democrat explained that the government born out of the Declaration “was used against races of people." I guess they missed that part in school where they might have learned that the same government later made slavery illegal and amended the Constitution to guarantee all men equal protection under the law. The 13th, 14th, and 15th Amendments were an admission of guilt by the nation regarding slavery, and an effort to right the wrongs.

Yet, the progressive logic goes something like this: many of the men who signed the Declaration of Independence, including Thomas Jefferson who wrote it, owned slaves; slavery is evil; therefore, the Declaration of Independence is not valid because it was created by evil slave owners.

It's a sad reality that the left has a very hard time appreciating the universal merits of the Declaration of Independence because they're so hung up on the long-dead issue of slavery. And just to be clear — because people love to take things out of context — of course slavery was horrible. Yes, it is a total stain on our history. But defending the Declaration of Independence is not an effort to excuse any aspect of slavery.

Okay then, people might say, how could the Founders approve the phrase “All men are created equal," when many of them owned slaves? How did they miss that?

They didn't miss it. In fact, Thomas Jefferson included an anti-slavery passage in his first draft of the Declaration. The paragraph blasted King George for condoning slavery and preventing the American Colonies from passing legislation to ban slavery:

He has waged cruel war against human nature itself, violating its most sacred rights to life and liberty in the persons of a distant people who never offended him, captivating and carrying them into slavery in another hemisphere... Determined to keep open a market where men should be bought and sold, he has prostituted his negative for suppressing every legislative attempt to prohibit or to restrain this execrable commerce.

We don't say “execrable" that much anymore. It means, utterly detestable, abominable, abhorrent — basically very bad.

Jefferson was upset when Georgia and North Carolina threw up the biggest resistance to that paragraph. Ultimately, those two states twisted Congress' arm to delete the paragraph.

Still, how could a man calling the slave trade “execrable" be a slaveowner himself? No doubt about it, Jefferson was a flawed human being. He even had slaves from his estate in Virginia attending him while he was in Philadelphia, in the very apartment where he was writing the Declaration.

Many of the Southern Founders deeply believed in the principles of the Declaration yet couldn't bring themselves to upend the basis of their livelihood. By 1806, Virginia law made it more difficult for slave owners to free their slaves, especially if the owner had significant debts as Jefferson did.

At the same time, the Founders were not idiots. They understood the ramifications of signing on to the principles described so eloquently in the Declaration. They understood that logically, slavery would eventually have to be abolished in America because it was unjust, and the words they were committing to paper said as much. Remember, John Adams was on the committee of five that worked on the Declaration and he later said that the Revolution would never be complete until the slaves were free.

Also, the same generation that signed the Declaration started the process of abolition by banning the importation of slaves in 1807. Jefferson was President at the time and he urged Congress to pass the law.

America has an obvious road map that, as a nation, we're not consulting often enough.

The Declaration took a major step toward crippling the institution of slavery. It made the argument for the first time about the fundamental rights of all humans which completely undermined slavery. Planting the seeds to end slavery is not nearly commendable enough for leftist critics, but you can't discount the fact that the seeds were planted. It's like they started an expiration clock for slavery by approving the Declaration. Everything that happened almost a century later to end slavery, and then a century after that with the Civil Rights movement, flowed from the principles voiced in the Declaration.

Ironically for a movement that calls itself progressive, it is obsessed with retrying and judging the past over and over. Progressives consider this a better use of time than actually putting past abuses in the rearview and striving not to be defined by ancestral failures.

It can be very constructive to look to the past, but not when it's used to flog each other in the present. Examining history is useful in providing a road map for the future. And America has an obvious road map that, as a nation, we're not consulting often enough. But it's right there, the original, under glass. The ink is fading, but the words won't die — as long as we continue to discuss them.

'Good Morning Texas' gives exclusive preview of Mercury One museum

Screen shot from Good Morning Texas

Mercury One is holding a special exhibition over the 4th of July weekend, using hundreds of artifacts, documents and augmented reality experiences to showcase the history of slavery — including slavery today — and a path forward. Good Morning Texas reporter Paige McCoy Smith went through the exhibit for an exclusive preview with Mercury One's chief operating officer Michael Little on Tuesday.

Watch the video below to see the full preview.

Click here to purchase tickets to the museum (running from July 4 - 7).

Over the weekend, journalist Andy Ngo and several other apparent right-leaning people were brutally beaten by masked-gangs of Antifa protesters in Portland, Oregon. Short for "antifascist," Antifa claims to be fighting for social justice and tolerance — by forcibly and violently silencing anyone with opposing opinions. Ngo, who was kicked, punched, and sprayed with an unknown substance, is currently still in the hospital with a "brain bleed" as a result of the savage attack. Watch the video to get the details from Glenn.