Skip to main content

tv   Glenn Beck  FOX News  January 14, 2011 5:00pm-6:00pm EST

5:00 pm
because things can change. such as history. such as life. such as us. ♪ ♪ ♪ captioned by closed captioning services, inc ♪ ♪ ♪ ♪ [ applause ] >> glenn: welcome to the "glenn beck program." hello, america. i have an audience here. i've instructed them not to become violent, but it's a little sketchy. you never know. the genesis of tonight's show came from two places.
5:01 pm
one, this. i went in to burger king with my son. and i saw this. it's, i think it's a zhu zhu z--h-u, z-h-u. i recognized that's chinese. i thought i never heard of that. have you ever heard of this? yeah. is at it cartoon or something? no. just a zhu zhu pet. that is clearly not coming from america. so now we are getting not our toys and our things in our little happy meals which should be banned, they're so dangerous. not just our toys in the bag made in china, but the image and everything else. the culture coming from china. that was the first thing that i thought. i point this out to the american people because it's going to happen and happen slowly and southerly.
5:02 pm
do we have the cartoon that is -- a chinese cartoon. you have probably seen a million times. we have had cartoons made oversees in china, et cetera. but this is chinese culture again. coming over here. so, as everybody used to watch "dallas" and "who shot j.r.?" in germany and you saw that. that was our culture being exported over seas. the second genesis for the show are the headlines. this is what happened this year. right here. "china holds line. won't commit to strategic talks with u.s." okay. we're the superpower, right? hmm. no. they are. i have a theory i'll share at the bottom of the hour and i have a couple of experts to see if it's right. but if it is, it's quite enlightening and telling. it's time for america to wake up. so the headline, but you read just this headline.
5:03 pm
and it doesn't necessarily connect to anything. what i do, i think, is my job is to be somebody who puts puzzle pieces together. but not one like this. a puzzle like this. i love this. it is a puzzlement. china passes u.s. world top world car market. what does that say to me? that says to me like this, that if they are the top buyer of cars, it is going to be their choice. we get the secondary models. that is just the way it is. they're the top buyer. they get first crack at it. next. germany no, longer world's largest exporter. china is. education survey. china scores top mark. u.s. lags. that's disturbing.
5:04 pm
china soars on international tests. china leads asia-wide acceleration in manufacturering. oil prices rise as u.s. supply declines. china overtakes u.s. as biggest energy consumer. china is pushing up cost of gas production in the u.s. 2.4 million u.s. jobs lost in china. shanghai, now the world's busiest container port. china now has world's fastest super computer. china military making quick advances. china has a new stealth fighter waiting in the wings. i hope it works as well as these. u.s. sounds alarm at china military build-up. and chinese mothers are superior. those are the headlines from the last couple of weeks. i said to my staff, nobody puts these together. nobody on television realizes
5:05 pm
and they're not putting it together. the american people are not seeing the big picture. then i realize, i have a tv show and i should do that. they pass the u.s. as the top world car market. meaning we now get their choice. we now get their culture, they choice, their things. we're a secondary market. they're no longer the -- germany is no longer the largest exporter. china is. so we're also buying all of their stuff. education survey, china scores top marks. means their kids are passing us. we can't lose that edge, as well. china leads asia-wide acceleration in manufacturering. they have the thinkering and they have the doers. because they have the thinkers and the doers, they're starting to grab more an more oil. manufacturering is taking off. and the thinkers are also taking off. so the people who want boats and cars and houses and planes and everything else. that is going to start growing
5:06 pm
because they have the thinkers, and they have the doers. so that means manufacturering, they need more energy. for the boats and for the factoriries. china overtakes u.s. as biggest oil consumer. they're pushing up the cost of gas in u.s. these are related. they overtake the u.s. as the biggest energy consumer. what does it mean? there is different grades of oil. we always got top shelf. we get the cheapest oil to refine. the rest of the world has to refine kind of grittier, dirtier, harder to refine oil, because we are the top dog. we buy the most. most cars. that means we'll get the option, the ones they want, we get secondary choice. then with the oil, now that they have taken the number one position as energy consumer, mark my words, we'll get secondary oil. it will be more expensive for
5:07 pm
us to manufacturer our gasoline, because we'll get the cheaper oil. pushing the cost of production up. if you don't have the thinkers and you don't have the doers and you have more expensive energy, you will lose 2.4 million jobs lost to china. shanghai how the busiest container port. meaning things coming in and going out. china now has the world's fastest super computer. this isn't just faster. a little bit faster. this is a whole lot faster. we don't even know how they did it. they have blown us out of the water. do you remember the big -- anybody remember this under clinton? when we gave them a super computer and everybody said don't give them a super computer. now we beg for their super computer. which leads you to china's military making quick advances. they have a stealth. we thought it was years away. our military is now saying
5:08 pm
uh-oh. trouble. and finally, we should be more like the chinese. i want to start with a little history. over the centuries there have been empires on earth. none of the empires remain an empire. the most famous story is rome. qing dynasty came and went. the world's sophisticated civiliation. recent times, the sun never set on the british empire. never. that was ten decades ago. and another obvious example, soviet union. people here say it will always be this way. why? what tells you that? where are you getting that? have you read a history book? we're not immune to losing our place as the world's number one superpower. while it sounds great because i don't want to be the world's policeman anymore.
5:09 pm
i'm tired of it. things change. and to understand that, you have to study history a little closer. so china overtakes japan as the world's second largest economy this summer. according to estimates like price waterhouse coopers, the country is on course to overtake the u.s. as the world's largest economy in how many years? they will be the largest economy, which is the only thing we have going for us. that's why the world bows to us, because we have to buy their crap. nine years. in nine years. now what factors go into the growth of an economy? there are five. and in no particular order. but there are five. let's see how many we have left. one is entrepreneurship. people who are smart and think out of the box and know how to do business. two. innovation. people who are smart and think out of the box and say wait a minute, i can do that better. then you have capital. who has money? and who has debt?
5:10 pm
labor. who can build it cheapest? five, technology, raw materials. now let's take a look at china. it certainly has the labor. it has the capital. it now has the fastest super computer that knocks ours in the dirt. it has raw materials. not because china has the raw materials but while we have been taking loans they have been buying everything up all over the planet. everywhere. the chinese foreign minister has bonn to the u.s. what? twice in the last few years? maybe? once or twice. and he's been to africa in one six or eight-month period four times. they are buying everything up, raw materials. they're buying up oil fields everywhere. they're waiting for to us lead on global warming. they are buying everything up.
5:11 pm
with one thing it doesn't have entrepreneurship and innovation. it doesn't have those two. what do we have? well, we're no longer the labor leader. we no longer have the capital. we no longer have the technology. we're still pretty good on that. we are down to two and barely. the policies are killing innovation and entrepreneurship. one of the disturbing studies i found -- i can't find it again and i wish i would have pulled it out. it shows the ability of children now in america to think out of the box is declining. why? because you don't have to. nobody pays consequence. somebody suffers or is held
5:12 pm
responsible. necessity is the mother of invention. the government is stuffing things out and china is fostering innovation. they're taking our innovation and they're making it bigger and better. americans are losing the ability to think out of the box. they need to be hungry again. but we're being stopped from innovating ourself and redesigning ourself because the problems may just go away. we have little imagination. we have to find our people to invent the cotton gin and the phone and thomas edison, the lightbulb. are we imagining anymore? that is what this is about. find out who you are. educate yourself. tonight we'll focus on education. and then know that you are the solution. entrepreneurship. think out of the box. if you don't think that we, that the world is changing, i want to show you two books. i've read these.
5:13 pm
these are tremendous. they're unbelievable. 1421 and 1434. this one is here is the year that china discovered america. what? did you know that? this one is 1434, the year a magnificent chinese fleet sailed to italy and ignited the renaissance. how many people here have ever heard that leonardi da vinci knowingly or unknowingly copied his ideas from the codex and everything else from the chinese. did you know that? this guy has done history like you would not believe. it's fascinating. turns everything upside down. whether it's true or not -- and i think it is. whether it's true or not doesn't matter because they're
5:14 pm
now the world's superpower, or soon will be. they will set history right. they felt that america was a blip. it was something that will be corrected over time. it will be corrected now. this is what you have to understand. i've had several people who have been in business for a long time. many of them billionaires. say to me, glenn, you can no longer compete against china. it's over. we will never beat them in manufacturering or anything else. we had healthcare going for us. we were innovators in healthcare. we're not anymore. or we soon will not be. i had one billionaire tell me he was meeting with the chinese. and they said you guys were screwed. they were much more polite than that. they're chinese. they were much more polite.
5:15 pm
you have very few options, but you have one thing. you think out of the box unlike any others. that's what we must focus on. i want to introduce you to guests. should i go to a break now? okay. we're going to go to a break. i'll tell you who we have. from chicago, jim rogers, global investor, self-made millionaire. this guy spooks me because i believe he is a genius. and i believe he is, he knows exactly what he is talking about. his first piece of advice -- correct me if i'm wrong -- first piece of advice is my advice to my wife as we homeschool. i said honey, we must teach our children mandarin, chinese. is that your first piece of advice? >> the best advice i can give anybody. make your children and grand children learn mandarin. >> glenn: he created the
5:16 pm
rogers international commodity index and author of several books including "bull in china" and "gift to my children." jim strongly believes asia is the future. he moved his whole family there. so he didn't handicap his children. he knew they had to get into that culture. in the studio is my good friend, david buckner president of bottom line training and adjunct professor at columbia university. how many times do you go to china a year? >> four or five times a year. >> glenn: we'll give you a look at china and what the future is for america if we don't wake up. and waking up, what does that mean? what do we do? back in a minute.
5:17 pm
5:18 pm
5:19 pm
5:20 pm
♪ ♪ >> glenn: we're back now talking a little bit about china with global investor and capitalist jim rogers and columbia university adjunct professor david buckner. jim, i want to start with you. if i don't point this out, media matters will. you started the quantum fund, if i'm not mistaken, with george soros. >> that was 41 years ago. yeah. >> glenn: right.
5:21 pm
it just want to point that out because everyone else will say he was talking to a guy that knew george soros and worked with him. glenn beck thinks he's a spooky dude. i'm not going to put you on the spot, but george soros is a spooky dude, isn't he? no. >> i don't know. i haven't seen him in almost 30 years. >> glenn: that is a very good thing. jim, let me talk to you about china. david, chime in here. the opening monologue i talked about the headlines up here and how they tie together. either of you guy have any headline or anything i'm missing that the american people need to see untieing the change of america and the takeover of the global economy and everything else by china? either of you see anything i've missed? >> well, glenn, what surprises me is everybody hasn't noticed. i packed up and moved my family to china, up to asia.
5:22 pm
not to china. to singapore. i thought everybody understood this. i'm very impressed that you figured it out and are bringing it to people's attention. >> glenn: i think most people -- jim, i think the first time i talked to you, you used to live in singapore. people were saying singapore is the place to be. i'm american. i don't just hop on to a gulf stream and go to singapore. i don't even know how that's done. and i don't know are they looking for talk show hosts? so most people can't do that. so we have to be here and say okay, now, what do we do? that's the message i think america needs today. what do we do if this is the case? >> well, the one notice that we don't see. it goes down to what we do is there are two pieces that really dictate growth in a country. people. labor. and money, capital. the one thing we're not watching is that the money is leighing america. what i mean by that, you are seeing, i spend most of my
5:23 pm
time in asia, china and other places to help american companies who placed themselveses there with americans teaching those, the labor over there how we run our companies. >> glenn: okay. jim, may i ask you a question? and i have friends who have done what david has said. look, business is business and i don't think that makes you un-american. but let me express a point of view. you're an american. america gave you an awful lot of benefit. and some people could say well, when the going gets tough, jim takes his money, his knowledge and his kids and he goes to singapore. >> wait, wait, wait. wait a minute. i am still an american citizen. i pay american taxes. i vote in america. what you talking about? americans are not allowed to live where they want to? is this north korea? is this cuba? >> glenn: no. not yet. jim, so how do companies that move over to china, because i
5:24 pm
agree. you cannot manufacturer the way things are, you can't start -- somebody told me that bill gates could not have started microsoft today the way he did before. because america is too overregulated and too expensive. >> and the point that is being made here, it's not whether we want to move to asia or whether americans want to shift companies there. it's the natural economic forces. >> glenn: right. >> what we're seeing is what we inspired in america in the past 100 years is now inspired in china and china is using the very skills we used to use and wrestling few you will away from america its preemnance in the marketplace. >> go ahead. >> america is now the largest debtor nation in the history of the world. china is the largest credit nation in the history of the world now. they have been saving and investing for the future. we have been borrowing and spending. that is not a way to success. you know that. i was impressed with your
5:25 pm
knowledge of history before. >> glenn: i will tell you that in just -- we're going to take a break here in a couple of minutes and i'm going to come back and i want to show you one piece of history. i haven't shared it with anyone. but i think you can answer the question. i think we're repeating exactly something from our own history. i'll get into that. so again, jim, let me ask you. the average person, and the average person who is a union member, manufacturering cars. the reason why the unions are becoming global is because the labor force is not, it's just not going to happen here in america. you can't continue to do that. so when a union here says hey, we're going to fix global wages, does that mean they are going to bring china and everybody else's wages up to our level? or do our wages, must they come down for us to be able to compete at all? >> no, no. our wages, listen, japan has
5:26 pm
much higher wage levels than we do. germany has very high wage levels. they can still compete. germany is still a net exporter. japan is still a net exporter. you can do it with high wages. >> glenn: so then what is the secret? what is keeping people from manufacturering and making things here in america? if it's not wages, what is it? >> well, part of is it the excess cost which americans have. you mentioned healthcare before. massive litigation costs we have in the united states. many things in the united states which other countries don't have in their expense base, which cost us and makes it more difficult for to us compete. plus education, which you mentioned before. you know as well as i do, american kids do very badly on tests on the international tests. i mean it's, i don't like saying any of this. i'm an american and i pay taxes. but we have to face facts. >> glenn: okay. back in just a second.
5:27 pm
>> the beer market is now the biggest in the world. worth $30 million. and with more money to throw around, china's rising class is dropping on pricy whiskey and wines. in 2009 alone, chinese spent $80 million on bottles of scotch. they're even acts like americans now.
5:28 pm
5:29 pm
5:30 pm
5:31 pm
. i'm patti ann browne. the republican national committee elected preibus the new leader. he will replace michael steele who earlier today dropped out of race. president obama condemning the use of violence against anti-government protesters in indonesia. 23 people are dead as a result of the riot. arizona shooting suspect jared loughner posted goodbye friends on the myspace page last saturday, according to authorities who released new details today. mourners said goodbye to
5:32 pm
u.s. district court judge john roll this morning. glenn beck returns in a moment but first, bret previews "special report." >> bret: coming up, closer look at the rnc chairman. explain about what is happening in tunisia. what happens if the government in pakistan fails? join me at the top of the hour for "special report." now back to glenn. ♪ ♪ >> glenn: we are back. talking about china. we have jim rogers and adjunct professor david buckner. i respect the two men a great deal. i want to ask you both a question. i want to skl you this and i
5:33 pm
haven't shared this before. let me tell you my understanding of history. you tell me if this matches where we are now. if it does, it's disturbing. the 1800s, the sun never set on the british empire. it was the world's largest most powerful navy. it dominated everything. it seems if you casually read history it stopped and we took over. i think what happened in 1915, they had world war i. it was england and all of europe. they were strapped for cash. nobody had cash. we had a ton of cash, a ton of gold. we were also coming in our own. we were really, we had the labor, we had the thinkers, we had the doers and all of it. we also had gold. and they needed money to
5:34 pm
finance the war. so we gladly gave it to the u.k. we gladly gave it to europe. we gave it to france. did we give some to germany? i think we did. we made loans and everybody went in massive, massive debt. see any parallel so far? after the war we brokered the peace. we told the navy, the british navy sink some of your ships. we were about to build blue water navy for the first time. we said sink your ships. it's the way to peace. they sunk some. and we told them to. then we told the u.k. because they owed us so much money, you have to choose between japan ally or us. you can't have both. which one is it going to be? churchill said he knew, you have to stand with the united states. it's the emerging power.
5:35 pm
that brings us and this is where i think we are. i think we are about 1920ish. but it will be much faster acceleration. we had the roaring '20s in the united states. china is about to hit maybe their roaring '20s. there will be an event or something where the world will wake up. it took us until the depression, the 1940s, until all of a sudden we unleashed this giant and we controlled the world. because of what china is doing not only with us but the rest of the world. they own everybody. jim, start with you. parallels? >> well, i want another thing that you left out, the decline of the u.k. was they were at the end of 19th century and 20th century, they were the world's policemen. they were having wars everywhere. south africa, the great war. strapped them in enormous cash, manpower and everything
5:36 pm
else. so they were already declining by the time the first world war came along. they were already deep debt. it's true that in 1918 everybody thought they were the richest, most powerful country in world. but they were already weakened from within. and on the decline. >> glenn: and we had, they owed us money. we had all the capital in the world. the parallels, david, now, on that, to china. china just said i think it was this week that china said here is what is going to happen. don't worry, europe. you don't have to worry about anything. and because we'll bail you out. they're going to finance what is happening in europe. >> well, it's analogous to the piece you identified there. but there is a second part to that. when you look at what it created in europe by lending all of this money and having them owe us, similarly to china and the united states
5:37 pm
owing them, that was the beginning of the seeds of weimar so you are beginning to see what happens to countries that owe lots of money and not in a position to exploit factors of growth you talked about, not in a position to use the economic leverage because they're owned. you see that model. what happened with us, you are seeing china being us at that point of time. >> glenn: jim, jefferson said you will be a slave to someone who you owe money to. >> throughout history. throughout history, thinkers and visionaries said you go deep in debt, you will have a problem. no country in world history has gotten itself in our position, i.e., huge debt and gotten out without a crisis or a semi-crisis. again, i don't like saying it. read history. nobody gets out of something like this without a problem. >> glenn: let me go there. i want to start with what jim
5:38 pm
said but on the positive side. so you guys are big thinkers. you consult people all around the world. you get it. now tell the american people, here is what we have to do. if you want to change history and don't want to be a repeat of history, here is what you have to do. we'll do that next.
5:39 pm
5:40 pm
important information for catheter users from liberty medical. you'll never have to re-use catheters again. depending on your coverage liberty medical can provide you with up to 200 catheters a month, at little or no cost to you. liberty provides caring support and they make the process easy. they work directly with your doctor, medicare or your insurance provider and there are no upfront costs. liberty also provides free shipping and a no-risk guarantee. now, liberty offers the magic3 catheter. the only 100% silicone device available direct to consumers. using the latest technology, magic3's advanced design gives you optimal comfort, easy handling, and reliable drainage. engineered to perform, magic3 is gentle on sensitive tissue, yet strong and kink-resistant. they come in multiple options for individual preferences including convenient
5:41 pm
self-lubricating and antibacterial catheters. call or visit, that's, to receive free home delivery of your
5:42 pm
>> glenn: back with global capitalist jim rogers and
5:43 pm
adjunct professor david buckner. jim, start with you. you have a forum to talk to the average american person. what do they do? they're not global whatever. what do they do? the -- >> the average american has to start with their children. i had a daughter and she is doing things in the second grade i'm having trouble helping her with in her math. i'll have to call you, glenn, when she is in the fourth or fifth grade. >> glenn: yes. she'll really be in trouble then. >> i can't believe what they're demanding of her. it's very rigorous and demanding. all these kids are working their heads off. she is in the second grade. you know, china produces something like 20 to 30 times as many engineers every year as we do in america. we don't teach math.
5:44 pm
in singapore, you have to earn their self-esteem. you have to earn it. >> glenn: jefferson called it ameritokrisy, and that's what made us different. you had to earn your own way. what does the average person do, david? >> individual has to inspire innovation. there are things you can do on a small level and large level. you have to put yourself in a position to innovate and create. you have to create entrepreneurship, ideas and innovation. the second step is you've got to make sure that government officials and policy allow for entrepreneurship. that foster entrepreneurship and don't snuff out entrepreneurship that we will only live by. >> glenn: i'll ask you both the same question and start with you, jim. do you have faith because i do, faith in the american
5:45 pm
people. if the american people were unleashed. told the truth and -- because i think a lot of people are awake in america. they are looking for somebody to tell them the straight truth. if they were told the truth and the government was responsible and lowered the spending dramatically and lowered the bureaucracy of getting stuff done, do you believe we could turn the corner and turn the country around? >> of course, we could. we have many advantages. we are a nation of immigrants. many foreigners come with the brain and capital as has been happening in america for over 100 years. we have a lot of smart people. we have to stop spending the money in the government. we are running up gigantic debt. you have to change the tax code to encourage saving and investing instead of
5:46 pm
consumption. nobody got rich consuming. you get rich saving and investing. >> glenn: del's advocate. they will tell you, jim, if we stop spending, the economy stops. president bush said if you want to help the country, go spend. that's a nightmare. they say if you do that the economy will stop and we have the great depression. >> glenn, it defies comprehension to me that people say the solution to too much debt and consumption is more debt and more consumption. i can't believe that grown-ups can say something like that and expect people to believe them. this is madness. you have to cut spending with an ax, draconianly and you have to change the tax code to encourage us all to save and invest instead of borrow and spend. madness. >> what are you doing in 2012? we'd like somebody who spoke this language to run.
5:47 pm
david, president bush said do out and spend. >> i have absolute confidence in two things. hunger and knowledge. if people know that spending without receiving, without innovating and growing is only debt. spending people's money is worse debt. i know that will fail. with hunger comes innovation. if you look at the hunger, and allow something to die, it will have hunger and it will innovate. every recession, following that comes the boon, the huge upside, because people that are hungry innovate. >> glenn: when we come back, final thoughts and i want to focus on this. they say that state capitalism, what a managed economy, china does, is the answer. i don't think it is. two people who spend a lot of time there, and know about america, they'll answer that next.
5:48 pm
5:49 pm
5:50 pm
5:51 pm
you know, i have several friends in china. one of them, when he kim back
5:52 pm
from china and i said i want to understand the suicide thing and the strike going on in china. what people in america don't understand they will build their factories and their eating places and their apartments in the same building. so you live above your work space and you eat and you shop and do everything there. sop people were starting to kill themselves. they went on strike and they raised everybody's wage from 50 cents to $1.00 and then they moved to another province and built it there and started to pay people 50 cents there. it was state controlled. the idea that they loved at the turn of century with mussolini. they said this is fabulous. you can move, you're nimbus. everyone said that i heard in business on television and everybody else, state capitalism is the wave of the future. that is not america. >> no, no, no, no.
5:53 pm
c'mon, glenn. the chinese call themselves communists but listen, they're more capitalist than anybody in the world. massachusetts is more communist than china these days. california. [ laughter ] c'mon. what are you talking about? >> glenn: i'm just saying, that's what i'm hearing. i have heard -- it's the progressive movement. state capitalism, the model in china is the future and you can't compete unless you have, i mean honestly, i had a big person in my office and i almost threw him out of my office because he said, hey, the way to solve the oil thing, he said i advise the administration on it. dead serious. we have to take control of the oil companies. i said, get out of my office. i mean, this is crazy. >> it's not going to work. only entrepreneurship will work. china knows it too. >> glenn: they say it is
5:54 pm
working now. >> but it relies on the fact they're on the greater good. confucious and the principles, the good of the larger community comes first. that is culture. we start from the bottom with the individual, bottom, the soul and move to greater good. they start with the greater good and move to the individual. the individual that does for the greater good is still a culture issue. >> the one who started this 30 years ago in 1978 said we've got to try something new. communism is not worked. said i don't care if you call it a black cat or a white cat, as long as it catches mice. that's the approach in china now. forget what they call themselves. >> glenn: i understand that. but it's not really capitalism because the state still dictates. you can't make a certain level, over a certain level.
5:55 pm
right? the state still says we're moving in this direction. they move all of the structure for people. >> wait. they're moving away from socialism, state capitalism if you will. we are moving toward it. china will make mistakes. in the 19th century, we made horrible mistakes. civil war, very few human rights and massive depressions with a "d." you could buy and sell -- you can still buy and tell congressmen in america but in those days they were cheap. >> glenn: we know who they are and we're just haggling over price now. >> right. so china will make mistakes like we did. we had a great 20th century, though, even after the mistakes. don't worry, there will be plenty of mistakes in china. >> glenn: i know there will
5:56 pm
be. the power they wield -- we have 20 seconds. can i ask you both to come back and maybe do another hour with you on the trouble that china has. i need a yes and no answer from you both. chinese officials are worried about instakt in their own country. they know how delicate the situation is and that they are on a powder keg. >> very delicate. >> so does washington. washington is sitting on a powder keg, too. >> glenn: back in a moment.
5:57 pm
5:58 pm
5:59 pm


info Stream Only

Uploaded by TV Archive on