Blog
LatestArticlesVideos
Radio
LivePodcastSerialsStations
TV
Podcasts
The Glenn Beck ProgramThe Glenn Beck PodcastThe Beck Story
Fine Art
Real Estate
Shop
More
AboutCharityBooksSponsorsContact
SEARCH
Live Radio

©2024 MERCURY RADIO ARTS.
ALL RIGHTS RESERVED.

TERMS OF USE | PRIVACY POLICY

Live

Glenn's Show Prep

6 things you NEED to know about the Silicon Valley Bank collapse

March 15, 2023
NurPhoto / Contributor | Getty Images
Katarina Bradford

Silicon Valley Bank's collapse is sparking traumatic memories of the 2008 financial crash. Should we be worried SVB is signaling a similar economic catastrophe, or is everyone overreacting to the media's hype? Glenn told his listeners to be "healthily terrified." This event is sure to have ripple effects throughout the economy, but the more you are informed about it, the more you can prepare. Here are 6 things you need to know about Silicon Valley Bank's crash—explained in simple words.

1. The short answer to what happened: SVB didn't have enough money to pay its depositors.

Remember the scene from It's a Wonderful Life when all of the residents make a run on George Bailey's bank demanding their money? Fortunately for them, their money was in the altruistic hands of George Bailey, who used his honeymoon savings to give the depositors the money they demanded.

Silicon Valley Bank's depositors weren't so lucky.

In short, the depositors made a run on Silicon Valley Bank, demanding the withdrawal of their money. But SVB simply didn't have the liquid money available to give their depositors, causing regulators to shut down the bank shortly afterward.

2. It all started with COVID...

Why didn't SVB have enough money for its depositors? To explain this, we have to go back to the pandemic era.

The pandemic saw a rapid decrease in spending and a massive increase in bank deposits. Due to the uncertainty of the future and lockdowns limiting ways to spend money on recreational activities, like restaurants, bars, and other outlets, many Americans stocked up money in their accounts. In fact, SVB's deposits doubled in 2021 alone, bringing in more money than they could lend out to their clients.

To make a return on their available cash, SVB wanted to invest it, as many banks do. Since they had reached their lending limit, they decided to invest it in U.S. Treasury Securities, which are the government's means of funding itself without using taxation (in a nutshell). These are considered "ultra-safe" investments because they are backed by the "full faith and credit of the federal government."

Unlike other forms of investments, investing in Treasuries means the government will do everything within its legal power to pay back the money used to fund itself. In other words, it is typically very safe... so what happened?

3. Then came the magic cocktail—record-high inflation and rising interest rates...

Interest rates ruined the typically "ultra-safe" investment. Due to 40-year record-high inflation, the Fed lifted rates eight times by a total of 4.25 percentage points in 2022, raising interest rates from 0.25 percent to 4.375 percent. This means the value of U.S. Treasuries investments plummeted rapidly. SVB reported that it lost $1.8 billion due to the decreased value of its Treasuries investments after a year of rising interest rates.

This raises the following question: why didn't SVB just weather the storm and wait for interest rates to decrease? There are two issues with this. The first is that, with so many of their assets held up in Treasuries investments, SVB still wouldn't have enough liquid assets to give their depositors during the bank run.

The second issue is that Treasuries investments have a ten-year limit. In 2021 during the Trump administration, interest rates were at an all-time low of 0.125 percent.

The record-fast increase of interest rates in 2022 caused very little chance for rates to go back down to their historic 2021 lows within ten years for banks to make their money back on their investments.

To avoid this, SVB planned to sell their investments at a loss and re-purchase Treasuries investments at the decreased value, giving them an extra ten years to bet on decreased interest rates in the future.

But people caught on to SVB's plan and didn't want to ride with the risk.

4. Account holders withdrew their money... FAST.

As aforementioned, SVP lost $1.8 billion when it sold its depleted Treasuries investments. While they were betting on being able to re-purchase the devalued securities, hoping that they would go up in value in the future with lowered interest rates, investors were worried about the risk.

Once they made the announcement of their $1.8 billion loss, their stocks began to drop, and venture capitalists warned the companies they invest in to pull out of SVB. This had a snowball effect, leading to a "bank run" of depositors demanding to withdraw their money from their SVB accounts.

This led to the perfect storm: SVB's investment losses coupled with the influx of withdrawals were so immense that regulators had to step in and shut the bank down to protect depositors. The government currently "running" SVB, for all practical purposes, is the Federal Deposit Insurance Corporation (FDIC). The FDIC closed SVB on Friday and reopened the bank on Monday, March 13th as the Deposit Insurance Bank of Santa Clara.

5. Some people may lose their money. 

Banks insure accounts with $250,000 or less with FDIC insurance. That means, in cases of bank failure, exactly like this one, the FDIC covers all accounts less than $250,000. The FDIC said SVB customers who had less than $250,000 in their accounts will have access to all of their money when the bank reopens. Since it reopened this week, they should have access to their funds.

However, many of SVB's depositors had more than $250,000 in their accounts—it is Silicon Valley after all. Therefore, their accounts were not covered by FDIC insurance. Will they get their money back? There is a chance that they will not.

It is unclear how much SVB currently has to cover uninsured deposits. It is likely not enough. The FDIC has issued a "Receiver's Certificate" to the uninsured account holders with the amount in their account that is not covered by FDIC insurance.

The FDIC said it will pay some of the uninsured deposits by next week by liquidating any additional assets held by SVB. However, if the liquidated assets are not enough, many of SVB's uninsured account holders could lose their money for good.

6. Is this 2008 all over again?

SVB's collapse was the largest bank failure since 2008, when Washington Mutual failed with $307 billion in assets. Its failure, along with the collapse of the Lehman Brother's investment bank, triggered the worst financial crisis since the Great Depression. Are we in danger of repeating 2008?

Some argue that we are not in danger of another economic catastrophe, simply because SVB holds less than 1 percent of the nation's assets. However, as Glenn warns, there is a danger of banks repeating the same mistakes as SVP.

SVP wasn't the only bank to use its surplus deposits to invest in U.S. Treasuries, which means that other banks are wrestling with the depleted value of their securities investments due to rising interest rates.

Bank of America, for example, lost $109 billion in their securities investments due to rising interest rates, the most among its peers—and Bank of America is no small fish in the ocean of assets.

Other major banks recorded other massive losses in their securities investments due to rising interest rates. JP Morgan Chase lost $36 billion, Wells Fargo lost $41 billion, Citigroup lost $25 billion, and Goldman Sachs lost $1 billion. If the little banks collapse, will they get the same effort and attention from the federal government as the "big guys?"

The critic may argue that these are still small values given the incredibly large amount of assets held in banks nationwide. However, this is missing the point. Major banks have majorly invested in securities since the pandemic-era skyrocketing rate of deposits. Now those investments are depleted in value.

They can either sell those investments at a loss, or they can wait and hope that they will recover over time. However, if those investments are no longer liquid, what happens when their depositors come knocking? Will they have enough liquid assets to cover a massive bank run? These are the lingering questions that our banks need to address.

As Glenn says, this will impact you—it is only a matter of time. What will you do to prepare?

Trump v. Slaughter: The Deep State on trial

JIM WATSON / Contributor | Getty Images

The administrative state has long operated as an unelected super-government. Trump v. Slaughter may be the moment voters reclaim authority over their own institutions.

Washington is watching and worrying about a U.S. Supreme Court case that could very well define the future of American self-government. And I don’t say that lightly. At the center of Trump v. Slaughter is a deceptively simple question: Can the president — the one official chosen by the entire nation — remove the administrators and “experts” who wield enormous, unaccountable power inside the executive branch?

This isn’t a technical fight. It’s not a paperwork dispute. It’s a turning point. Because if the answer is no, then the American people no longer control their own government. Elections become ceremonial. The bureaucracy becomes permanent. And the Constitution becomes a suggestion rather than the law of the land.

A government run by experts instead of elected leaders is not a republic. It’s a bureaucracy with a voting booth bolted onto the front to make us feel better.

That simply cannot be. Justice Neil Gorsuch summed it up perfectly during oral arguments on Monday: “There is no such thing in our constitutional order as a fourth branch of government that’s quasi-judicial and quasi-legislative.”

Yet for more than a century, the administrative state has grown like kudzu — quietly, relentlessly, and always in one direction. Today we have a fourth branch of government: unelected, unaccountable, insulated from consequence. Congress hands off lawmaking to agencies. Presidents arrive with agendas, but the bureaucrats remain, and they decide what actually gets done.

If the Supreme Court decides that presidents cannot fire the very people who execute federal power, they are not just rearranging an org chart. The justices are rewriting the structure of the republic. They are confirming what we’ve long feared: Here, the experts rule, not the voters.

A government run by experts instead of elected leaders is not a republic. It’s a bureaucracy with a voting booth bolted onto the front to make us feel better.

The founders warned us

The men who wrote the Constitution saw this temptation coming. Alexander Hamilton and James Madison in the Federalist Papers hammered home the same principle again and again: Power must remain traceable to the people. They understood human nature far too well. They knew that once administrators are protected from accountability, they will accumulate power endlessly. It is what humans do.

That’s why the Constitution vests the executive power in a single president — someone the entire nation elects and can unelect. They did not want a managerial council. They did not want a permanent priesthood of experts. They wanted responsibility and authority to live in one place so the people could reward or replace it.

So this case will answer a simple question: Do the people still govern this country, or does a protected class of bureaucrats now run the show?

Not-so-expert advice

Look around. The experts insisted they could manage the economy — and produced historic debt and inflation.

The experts insisted they could run public health — and left millions of Americans sick, injured, and dead while avoiding accountability.

The experts insisted they could steer foreign policy — and delivered endless conflict with no measurable benefit to our citizens.

And through it all, they stayed. Untouched, unelected, and utterly unapologetic.

If a president cannot fire these people, then you — the voter — have no ability to change the direction of your own government. You can vote for reform, but you will get the same insiders making the same decisions in the same agencies.

That is not self-government. That is inertia disguised as expertise.

A republic no more?

A monarchy can survive a permanent bureaucracy. A dictatorship can survive a permanent bureaucracy. A constitutional republic cannot. Not for long anyway.

We are supposed to live in a system where the people set the course, Congress writes the laws, and the president carries them out. When agencies write their own rules, judges shield them from oversight, and presidents are forbidden from removing them, we no longer live in that system. We live in something else — something the founders warned us about.

And the people become spectators of their own government.

JIM WATSON / Contributor | Getty Images

The path forward

Restoring the separation of powers does not mean rejecting expertise. It means returning expertise to its proper role: advisory, not sovereign.

No expert should hold power that voters cannot revoke. No agency should drift beyond the reach of the executive. No bureaucracy should be allowed to grow branches the Constitution never gave it.

The Supreme Court now faces a choice that will shape American life for a generation. It can reinforce the Constitution, or it can allow the administrative state to wander even farther from democratic control.

This case isn’t about President Trump. It isn’t about Rebecca Slaughter, the former Federal Trade Commission official suing to get her job back. It’s about whether elections still mean anything — whether the American people still hold the reins of their own government.

That is what is at stake: not procedure, not technicalities, but the survival of a system built on the revolutionary idea that the citizens — not the experts — are the ones who rule.

This article originally appeared on TheBlaze.com.

1 in 20 Canadians die by MAID—Is this 'compassion'?

Vaughn Ridley / Stringer | Getty Images

Medical assistance in dying isn’t health care. It’s the moment a Western democracy decided some lives aren’t worth saving, and it’s a warning sign we can’t ignore.

Canada loves to lecture America about compassion. Every time a shooting makes the headlines, Canadian commentators cannot wait to discuss how the United States has a “culture of death” because we refuse to regulate guns the way enlightened nations supposedly do.

But north of our border, a very different crisis is unfolding — one that is harder to moralize because it exposes a deeper cultural failure.

A society that no longer recognizes the value of life will not long defend freedom, dignity, or moral order.

The Canadian government is not only permitting death, but it’s also administering, expanding, and redefining it as “medical care.” Medical assistance in dying is no longer a rare, tragic exception. It has become one of the country’s leading causes of death, offered to people whose problems are treatable, whose conditions are survivable, and whose value should never have been in question.

In Canada, MAID is now responsible for nearly 5% of all deaths — 1 out of every 20 citizens. And this is happening in a country that claims the moral high ground over American gun violence. Canada now records more deaths per capita from doctors administering lethal drugs than America records from firearms. Their number is 37.9 deaths per 100,000 people. Ours is 13.7. Yet we are the country supposedly drowning in a “culture of death.”

No lecture from abroad can paper over this fact: Canada has built a system where eliminating suffering increasingly means eliminating the sufferer.

Choosing death over care

One example of what Canada now calls “compassion” is the case of Jolene Bond, a woman suffering from a painful but treatable thyroid condition that causes dangerously high calcium levels, bone deterioration, soft-tissue damage, nausea, and unrelenting pain. Her condition is severe, but it is not terminal. Surgery could help her. And in a functioning medical system, she would have it.

But Jolene lives under socialized medicine. The specialists she needs are either unavailable, overrun with patients, or blocked behind bureaucratic requirements she cannot meet. She cannot get a referral. She cannot get an appointment. She cannot reach the doctor in another province who is qualified to perform the operation. Every pathway to treatment is jammed by paperwork, shortages, and waitlists that stretch into the horizon and beyond.

Yet the Canadian government had something else ready for her — something immediate.

They offered her MAID.

Not help, not relief, not a doctor willing to drive across a provincial line and simply examine her. Instead, Canada offered Jolene a state-approved death. A lethal injection is easier to obtain than a medical referral. Killing her would be easier than treating her. And the system calls that compassion.

Bureaucracy replaces medicine

Jolene’s story is not an outlier. It is the logical outcome of a system that cannot keep its promises. When the machinery of socialized medicine breaks down, the state simply replaces care with a final, irreversible “solution.” A bureaucratic checkbox becomes the last decision of a person’s life.

Canada insists its process is rigorous, humane, and safeguarded. Yet the bureaucracy now reviewing Jolene’s case is not asking how she can receive treatment; it is asking whether she has enough signatures to qualify for a lethal injection. And the debate among Canadian officials is not how to preserve life, but whether she has met the paperwork threshold to end it.

This is the dark inversion that always emerges when the state claims the power to decide when life is no longer worth living. Bureaucracy replaces conscience. Eligibility criteria replace compassion. A panel of physicians replaces the family gathered at a bedside. And eventually, the “right” to die becomes an expectation — especially for those who are poor, elderly, or alone.

Joe Raedle / Staff | Getty Images

The logical end of a broken system

We ignore this lesson at our own peril. Canada’s health care system is collapsing under demographic pressure, uncontrolled migration, and the unavoidable math of government-run medicine.

When the system breaks, someone must bear the cost. MAID has become the release valve.

The ideology behind this system is already drifting south. In American medical journals and bioethics conferences, you will hear this same rhetoric. The argument is always dressed in compassion. But underneath, it reduces the value of human life to a calculation: Are you useful? Are you affordable? Are you too much of a burden?

The West was built on a conviction that every human life has inherent value. That truth gave us hospitals before it gave us universities. It gave us charity before it gave us science. It is written into the Declaration of Independence.

Canada’s MAID program reveals what happens when a country lets that foundation erode. Life becomes negotiable, and suffering becomes a justification for elimination.

A society that no longer recognizes the value of life will not long defend freedom, dignity, or moral order. If compassion becomes indistinguishable from convenience, and if medicine becomes indistinguishable from euthanasia, the West will have abandoned the very principles that built it. That is the lesson from our northern neighbor — a warning, not a blueprint.

This article originally appeared on TheBlaze.com.

A Sharia enclave is quietly taking root in America. It's time to wake up.

NOVA SAFO / Staff | Getty Images

Sharia-based projects like the Meadow in Texas show how political Islam grows quietly, counting on Americans to stay silent while an incompatible legal system takes root.

Apolitical system completely incompatible with the Constitution is gaining ground in the United States, and we are pretending it is not happening.

Sharia — the legal and political framework of Islam — is being woven into developments, institutions, and neighborhoods, including a massive project in Texas. And the consequences will be enormous if we continue to look the other way.

This is the contradiction at the heart of political Islam: It claims universal authority while insisting its harshest rules will never be enforced here. That promise does not stand up to scrutiny. It never has.

Before we can have an honest debate, we’d better understand what Sharia represents. Sharia is not simply a set of religious rules about prayer or diet. It is a comprehensive legal and political structure that governs marriage, finance, criminal penalties, and civic life. It is a parallel system that claims supremacy wherever it takes hold.

This is where the distinction matters. Many Muslims in America want nothing to do with Sharia governance. They came here precisely because they lived under it. But political Islam — the movement that seeks to implement Sharia as law — is not the same as personal religious belief.

It is a political ideology with global ambitions, much like communism. Secretary of State Marco Rubio recently warned that Islamist movements do not seek peaceful coexistence with the West. They seek dominance. History backs him up.

How Sharia arrives

Political Islam does not begin with dramatic declarations. It starts quietly, through enclaves that operate by their own rules. That is why the development once called EPIC City — now rebranded as the Meadow — is so concerning. Early plans framed it as a Muslim-only community built around a mega-mosque and governed by Sharia-compliant financing. After state investigations were conducted, the branding changed, but the underlying intent remained the same.

Developers have openly described practices designed to keep non-Muslims out, using fees and ownership structures to create de facto religious exclusivity. This is not assimilation. It is the construction of a parallel society within a constitutional republic.

The warning from those who have lived under it

Years ago, local imams in Texas told me, without hesitation, that certain Sharia punishments “just work.” They spoke about cutting off hands for theft, stoning adulterers, and maintaining separate standards of testimony for men and women. They insisted it was logical and effective while insisting they would never attempt to implement it in Texas.

But when pressed, they could not explain why a system they consider divinely mandated would suddenly stop applying once someone crossed a border.

This is the contradiction at the heart of political Islam: It claims universal authority while insisting its harshest rules will never be enforced here. That promise does not stand up to scrutiny. It never has.

AASHISH KIPHAYET / Contributor | Getty Images

America is vulnerable

Europe is already showing us where this road leads. No-go zones, parallel courts, political intimidation, and clerics preaching supremacy have taken root across major cities.

America’s strength has always come from its melting pot, but assimilation requires boundaries. It requires insisting that the Constitution, not religious law, is the supreme authority on this soil.

Yet we are becoming complacent, even fearful, about saying so. We mistake silence for tolerance. We mistake avoidance for fairness. Meanwhile, political Islam views this hesitation as weakness.

Religious freedom is one of America’s greatest gifts. Muslims may worship freely here, as they should. But political Islam must not be permitted to plant a flag on American soil. The Constitution cannot coexist with a system that denies equal rights, restricts speech, subordinates women, and places clerical authority above civil law.

Wake up before it is too late

Projects like the Meadow are not isolated. They are test runs, footholds, proofs of concept. Political Islam operates with patience. It advances through demographic growth, legal ambiguity, and cultural hesitation — and it counts on Americans being too polite, too distracted, or too afraid to confront it.

We cannot afford that luxury. If we fail to defend the principles that make this country free, we will one day find ourselves asking how a parallel system gained power right in front of us. The answer will be simple: We looked away.

The time to draw boundaries and to speak honestly is now. The time to defend the Constitution as the supreme law of the land is now. Act while there is still time.

This article originally appeared on TheBlaze.com.

The Crisis of Meaning: Searching for truth and purpose

Mario Tama / Staff | Getty Images

Anxiety, anger, and chronic dissatisfaction signal a country searching for meaning. Without truth and purpose, politics becomes a dangerous substitute for identity.

We have built a world overflowing with noise, convenience, and endless choice, yet something essential has slipped out of reach. You can sense it in the restless mood of the country, the anxiety among young people who cannot explain why they feel empty, in the angry confusion that dominates our politics.

We have more wealth than any nation in history, but the heart of the culture feels strangely malnourished. Before we can debate debt or elections, we must confront the reality that we created a world of things, but not a world of purpose.

You cannot survive a crisis you refuse to name, and you cannot rebuild a world whose foundations you no longer understand.

What we are living through is not just economic or political dysfunction. It is the vacuum that appears when a civilization mistakes abundance for meaning.

Modern life is stuffed with everything except what the human soul actually needs. We built systems to make life faster, easier, and more efficient — and then wondered why those systems cannot teach our children who they are, why they matter, or what is worth living for.

We tell the next generation to chase success, influence, and wealth, turning childhood into branding. We ask kids what they want to do, not who they want to be. We build a world wired for dopamine rather than dignity, and then we wonder why so many people feel unmoored.

When everything is curated, optimized, and delivered at the push of a button, the question “what is my life for?” gets lost in the static.

The crisis beneath the headlines

It is not just the young who feel this crisis. Every part of our society is straining under the weight of meaninglessness.

Look at the debt cycle — the mathematical fate no civilization has ever escaped once it crosses a threshold that we seem to have already blown by. While ordinary families feel the pressure, our leaders respond with distraction, with denial, or by rewriting the very history that could have warned us.

You cannot survive a crisis you refuse to name, and you cannot rebuild a world whose foundations you no longer understand.

We have entered a cultural moment where the noise is so loud that it drowns out the simplest truths. We are living in a country that no longer knows how to hear itself think.

So people go searching. Some drift toward the false promise of socialism, some toward the empty thrill of rebellion. Some simply check out. When a culture forgets what gives life meaning, it becomes vulnerable to every ideology that offers a quick answer.

The quiet return of meaning

And yet, quietly, something else is happening. Beneath the frustration and cynicism, many Americans are recognizing that meaning does not come from what we own, but from what we honor. It does not rise from success, but from virtue. It does not emerge from noise, but from the small, sacred things that modern life has pushed to the margins — the home, the table, the duty you fulfill, the person you help when no one is watching.

The danger is assuming that this rediscovery happens on its own. It does not.

Reorientation requires intention. It requires rebuilding the habits and virtues that once held us together. It requires telling the truth about our history instead of rewriting it to fit today’s narratives. And it requires acknowledging what has been erased: that meaning is inseparable from God’s presence in a nation’s life.

Harold M. Lambert / Contributor | Getty Images

Where renewal begins

We have built a world without stillness, and then we wondered why no one can hear the questions that matter. Those questions remain, whether we acknowledge them or not. They do not disappear just because we drown them in entertainment or noise. They wait for us, and the longer we ignore them, the more disoriented we become.

Meaning is still available. It is found in rebuilding the smallest, most human spaces — the places that cannot be digitized, globalized, or automated. The home. The family. The community.

These are the daily virtues that do not trend on social media, but that hold a civilization upright. If we want to repair this country, we begin there, exactly where every durable civilization has always begun: one virtue at a time, one tradition at a time, one generation at a time.

This article originally appeared on TheBlaze.com.