Glenn Beck: 1932 All Over Again?




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Congress couldn't agree on a budget, but don't worry about that. House Democrats have "deemed" the new $1.1 trillion budget as passed. "Deem and pass" allows Democrats to start spending money in 2011 without having to follow any real budget.

Meanwhile, President Obama's budget director, Peter Orszag, is now leaving the White House. He said, "I want to emphasize that it would be inaccurate to say that I have told the president personally that I'm leaving because of concerns about our fiscal policy."

Hmm. That's odd.

And former Clinton Labor Secretary and Obama economic adviser Robert Reich just came out and said: "The economy is still in the gravitational pull of the Great Recession — all the booster rockets for getting us beyond it are failing"

So big government is failing spectacularly and after a year and a half of Obama, it's starting to feel like 1932:

The average time needed to find a job has risen to a record 35.2 weeks

The budget deficit is above 10 percent of GDP

Home sales are down

Retail sales are down

9.2 million people are unemployed

But despite all of this, President Obama is taking a victory lap around the country. He's calling it "Recovery Summer." That's about as ridiculous as if BP went around the country right now to promote their environmental safety record. It doesn't add up.

History shows us, time and again, that big government spending is simply not the answer to national economic problems. But, here we go again down the big government path.

How does it keep happening?

Part of the problem is we have too many politicians like Pete Stark from California. Stark is a founding member of the Progressive Caucus and, as I showed you last week, he embodies everything about progressives we told you about: They think they are better than you.

Last week Stark was mocking the Minutemen over border security. Now listen to him in this interview with journalist Jan Helfeld about the national debt:

(BEGIN VIDEO CLIP)

REP. PETE STARK, D-CALIF.: The national debt measures the wealth.

(CROSSTALK)

STARK: The wealthier we are —

JAN HELFELD, JOURNALIST: The larger the national debt, the wealthier we are?

STARK: It's an indication of the wealth of the country. You're right.

HELFELD: So the more you owe, the more you're worth?

STARK: In federal accounting — in the national scheme of things, that's quite right.

HELFELD: So why shouldn't we borrow another trillion then next year?

STARK: Probably because — we should not necessarily borrow another trillion, but we will, inevitably.

(END VIDEO CLIP)

First of all, if you don't believe progressives think you are too stupid and have to be dragged to the right answers, just remember that clip. Secondly, more debt means we are wealthy? At the time of this clip the national debt was about $5 trillion. We're almost three times that amount now. We're rich! Where did we go wrong?

Stark went on to say this:

(BEGIN VIDEO CLIP)

STARK: Did you ever study economics?

HELFELD: A little bit.

STARK: Where?

HELFELD: In the University of Puerto Rico.

STARK: Oh the University of Puerto Rico? Do you have a doctorate in economics?

HELFELD: No, I don't.

STARK: A master's degree?

HELFELD: No, I don't.

STARK: How many classes did you take? What I would suggest —

(CROSSTALK)

STARK: They are simple-minded questions that don't relate to the realities —

(CROSSTALK)

STARK: If you would shut up for a minute. You're blabbing away here about something you don't know anything about.

HELFELD: I am just trying to ask a question —

STARK: You're making a lot of stupid statements, Jan.

HELFELD: So you think if the national debt increases, we become wealthier. So I don't see why you don't want to go for it — and go for two or three billion dollars —

STARK: It's why you probably never graduated from a very good college, Jan. And I'm not going to take the trouble to educate you here.

(END VIDEO CLIP)

I'd like to explain this to Congressman Stark and others who think like him. I'll speak slowly for the congressman. He should probably TiVo this — TiVo is a device that records TV shows and you can play it back. I didn't know if he knew that because he's been in Congress for 37 years now, so it's been a long time since he won that first election, in which his main complaint against his opponent was that he'd been in Congress too long.

Take an imaginary neighborhood with "diverse" economic backgrounds:

Person One makes $250,000 a year. They owe $500,000 on a $520,000 mortgage, they financed a $20,000 boat, a sports car and a summer cottage on the lake as well. Life is sweet. They don't have a lot of savings — they'll do that later.

Person Two only makes $45,000 a year. But, they've paid off their mortgage, they bought used cars and have no payments. They've saved money for a rainy day.

Now, the way Congressman Stark sees it, the richest person on the block is the guy with the boat and the sports car. After all, he's got the nicest stuff and the biggest house. But, what happens if they both lose their jobs and have to take one of those jobs that Americans just won't do? Or what if their income is significantly cut back?

Well, when that rainy day comes, the richest person on the block is the person only making $45,000 a year. Why? Well, they don't have lots of stuff, but they don't owe anyone either. There's no bank or credit card company breathing down their necks if their income is slashed. Their life changes, of course, but not as much as the rich guy with all the financed stuff. He's got to scramble to sell the house, the boat, the car. When he can't, banks and credit card companies are coming after him. He could borrow more money to try and keep up, but what has that done? Made him wealthier or just more in debt? All it does is buy some time before it all comes crashing down.

It's the same with the federal government. If IRS returns drop and they continue to try and make up for the shortfall by printing more money or borrowing more money, we just fall deeper into debt.

We're not wealthier. We've only held off the inevitable. But, then again, I'm not a doctor like the great congressman. Oh wait, he's not a doctor? And I almost forgot — I am. But it doesn't take a doctorate to read some history. It's not hard to see that we are repeating the same mistakes of the past. We are repeating the 1930s:

The Dow appears to be repeating the patterns seen during the Great Depression. After the crash in 1929, there was a brief recovery period in 1930. On July 8, 1932, the Dow bottomed out — closing the day at 41.22, an 89 percent drop from its pre-crash high; in October of 2008 stock market plummets 2,400 points in nine days

President Hoover responded by increasing federal spending by 50 percent between 1929 until the end of his term; George W. Bush abandoned the free market system to save the free market system

Unemployment over 20 percent by the end of Hoover's term; Unemployment was over 7 percent at the end of Bush — up from the 4.5 percent range

In 1932, Hoover increased top income tax rates from 25 percent to 63 percent; Obama is increasing top tax rates from 35 to 39 percent

FDR's policies included making unions stronger, regulating price controls, interfering with business and paying higher wages than the amount of productivity justified; Obama's "life work" is SEIU's life work. Obama has fired CEOs of companies and taken control of automakers and banks

FDR tried to revive economy with massive government spending and entitlements with the New Deal; Obama has tried to revive economy with massive government spending and expansion of entitlements with the stimulus, cash-for-clunkers, health care and financial reform, plus the takeover of student loan industry

Unemployment remained unresponsive and stayed stubbornly high throughout the New Deal and New Deal II; unemployment under Obama has gone up and stayed there, completely flat-lining despite the government "injections"

FDR blamed Hoover for the economic problems; Obama still blames Bush for "creating the mess" he has to "mop" up

In 1935, the Supreme Court struck down the NRA and in 1936, the court struck down the Agriculture Adjustment Act; today, 60 percent want a repeal of health care. Will the courts follow through?

In 1946, a successful GOP campaign "had enough" of Democrats; today, Tea Parties, whose universal issue is 'stop spending'

So we've followed Hoover and FDR almost step-for-step. Are we going to bottom out again and extend this slump just like FDR did? Well, we have to understand that there are critical differences between the 1930s and today:

Back then, the country had manufacturing. We could build ships, planes, tanks, etc.; today, we can't

Back then, our citizens didn't have crippling debt; today, we do

Back then, our grandparents saved their money; today, we don't

Maybe we could get someone really smart like Pete Stark to explain it to us. Oh wait, I forgot: It's people like Pete Stark who got us into this mess.

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

Apparel company The North Face recently stated that it would no longer make jackets for oil and gas companies because it doesn't want to be associated with the fossil fuel industry. In response, Colorado-based oil and gas company Liberty Oilfield Services rented full billboard ads to remind The North Face of the truth: "Globally, 60% of all clothing fibers are made out of oil and gas. For North Face, it is likely 90% or more."

Liberty CEO Chris Wright joined Glenn Beck on the radio program Tuesday to discuss just how much of our economy — beyond outdoor apparel and energy — wouldn't exist in a world without fossil fuels. And he warns that many companies are now deeming this truth to be "controversial."

"I have been for years, trying to get a real, honest dialogue about energy going," Chris told Glenn. "So we took this opportunity to point out that North Face jackets are ... almost completely made out of oil and gas. How can you choose not to associate with the essential material your equipment [is] made out of? So we put a billboard up ... the billboard says, 'That North Face puffer looks good on you. And it was made from fossil fuels.'"

"Most billboard companies did not want to run that billboard. They thought it was controversial," he added. "And Facebook put a hold on our brief video just saying the jacket looks good, this is what it's made out of. In today's world, that is controversial."

Watch the video below to catch more of the conversation:

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During a lecture at the Yale School of Medicine's Child Study Center, a New York City-based psychiatrist told students and faculty that she fantasizes about "unloading a revolver into the head of any white person that got in my way," among several other shockingly race-hating statements.

In April, Dr. Aruna Khilanani — a New York-based forensic psychiatrist and psychoanalyst — delivered the talk called "The Psychopathic Problem of the White Mind" virtually as part of the Yale School of Medicine's "Child Study Center Grand Rounds," a lecture program for "trainees in child psychiatry, psychology, and social work, faculty, clinicians, and scientists."

On the radio program Monday, Glenn Beck shared several quotes from an audio recording of the lecture provided by Bari Weiss, a former opinion writer and editor for the New York Times.

Here are a few of Khilanani's statements from the audio:

  • "This is the cost of talking to white people at all. The cost of your own life, as they suck you dry. There are no good apples out there. White people make my blood boil."
  • "I had fantasies of unloading a revolver into the head of any white person that got in my way, burying their body, and wiping my bloody hands as I walked away relatively guiltless with a bounce in my step. Like I did the world a f***ing favor."
  • "White people are out of their minds. And they have been for a long time."
  • "White people feel that we are bullying them when we bring up race. They feel that we should be thanking them for all that they have done for us. They are confused, and so are we. We keep forgetting that directly talking about race is a waste of our breath."
  • "We are asking a demented, violent predator who thinks that they are a saint or a superhero, to accept responsibility. It ain't gonna happen. They have five holes in their brain. It's like banging your head against a brick wall. It's just like sort of not a good idea."

"We must take a stand. We must speak out, because this is evil," Glenn said in response to Khilanani's shocking lecture. "I don't care who you voted for, you know this is evil."

Watch the video below for more details:

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The prices of our houses and food are already rising fast, but they will skyrocket to record highs if we don't fix the problem soon. So what's causing the inflation?

On the radio program this week, Glenn Beck said he doesn't believe it's the fault of our loggers, farmers, or truckers — many of them are really struggling. But the big corporations that control these industries are making record profits, all while the Biden administration is making some very odd decisions that could make the crises even worse.

Watch the video below for more details:

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The crisis at the border continues to worsen, with the U.S. Border Patrol recently releasing some shocking statistics that illuminate just how bad the situation has become. But Texas Governor Greg Abbott (R) is doing everything he can to prevent any additional unlawful crossings into the Lone Star State.

Abbott joined Glenn Beck on the radio program Wednesday to describe recent action he has taken to ensure that those who do cross into Texas illegally know they came to the "wrong state."

After noting that both President Joe Biden and Vice President Kamala Harris "have completely abandoned post as it concerns the Texas border," Abbott explained how "Texas is stepping up" to combat the flood of dangerous gangs and cartels, human traffickers and drugs he says are pouring into border communities.

"Beginning in March, I deployed a thousand Texas Department of Public Safety officers to the border. I deployed the National Guard to the border. And they made well over a thousand arrests of some of these criminals we talked about. They've apprehended more than 33,000 illegal immigrants coming across the border." Abbott said. "But because of the way the Biden administration has abandoned the border, we are now elevating our game. What I did yesterday, in response to more than a dozen counties along the border ... I granted their request for a disaster declaration," he added.

Abbott went on to describe how his disaster declaration gives Texas the authority to toughen penalties for lawbreakers, including criminal trespassing, smuggling, and human trafficking.

"We're going to begin arresting everybody coming across the border and charging them with criminal trespass and putting them in jail. They are coming in here, thinking they'll get the Biden free-ride, and go wherever they want to go. Not in the state of Texas. We'll start arresting them right and left, and putting them behind bars, and saying they came in to the wrong state."

Asked by Glenn if he is prepared for the inevitable "media onslaught", Abbott simply answered, "We're prepared to see a reduction in the number of people coming across the border — because Texas is enforcing the law, period."

Watch the video clip below for more:


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To enjoy more of Glenn's masterful storytelling, thought-provoking analysis and uncanny ability to make sense of the chaos, subscribe to BlazeTV — the largest multi-platform network of voices who love America, defend the Constitution and live the American dream.