Tuesday, August 07, 2012

Storm Clouds Are Brewing on America's Horizon

My reading habit is to settle on three books and read them simultaneously. Sometimes all three are finished in a week, particularly if my bedtime reading is free from compulsive sleep. When a book is finished, another one becomes part of the cycle. Every few weeks I will throw in a Jack Reacher novel or other fiction work, but the predominate mix of books I read for pleasure are on history, finance, or culture. To me, reading a book is far better than watching a movie. The difference is similar to that of either watching or participating in the Olympics. Reading requires a firing of the mental circuitry that is unnecessary in movie watching. Lovers of scholastics write books; lovers of culture make movies. One is not necessarily morally superior to another, but one is definitely intellectually superior. Watching a movie becomes an escape from problems while reading a book becomes an entrance into solutions. It's one of the reasons why America may be in for a shock in the coming months. We watch too many movies and read too few books.

One book I highly recommend you read is The Debt Bomb by Dr. Tom Coburn, United States Senator from Oklahoma. His book is an eye opener into the dangerous world of municipal and government debt. Dr. Coburn is clear and concise regarding the horrific problem and the painful solutions. The Senator urges a drastic cut-back in government programs and expenditures and warns against the dangers of increasing the money supply to pay off government debt. The Senator, however, fears his solutions are too painful for America and the temptation too deflate the dollar is too strong for government officials. To understand the harm of deflating the dollar to pay off a sixteen trillion dollar national debt, I would urge you to read The Creature from Jekyll Island. This latter book will explain to you how a group of private banks, called The Federal Reserve, is allowed to inflate (increase) the supply of paper currency by creating money out of thin air (computer keyboard strokes) in order to cheapen the American dollar. Without cutting government expenses, the only way a sixteen trillion dollar debt will not completely crush our way of life is for the dollar to be intentionally devalued (inflation). In short, when a loaf of bread costs $50 dollars, a tank of gas costs $500, and a small home costs $500,000, then the government's debts won't seem as big. Unfortunately, this stagflation will bankrupt the majority of citizens and eventually turn America into a dictator state (think 1930's Germany).

It has been rightly said that "A democracy is always temporary in nature; it simply cannot exist as a permanent form of government. A democracy will continue to exist up until the time that voters discover that they can vote themselves generous gifts from the public treasury. From that moment on, the majority always votes for the candidates who promise the most benefits from the public treasury, with the result that every democracy will finally collapse due to loose fiscal policy, which is always followed by a dictatorship.

The average age of the world’s greatest civilizations from the beginning of history has been about 200 years. During those 200 years, these nations always progressed through the following sequence:

• From bondage to spiritual faith;

• From spiritual faith to great courage;

• From courage to liberty;

• From liberty to abundance;

• From abundance to complacency;

• From complacency to apathy;

• From apathy to dependence;

• From dependence back into bondage."

If you are unwilling or unable to read the above books, it may be possible for you to watch the following video called America Freedom to Facism.

No need, in my mind, to be discouraged--unless your trust is in kingdoms of this world.

"Seek first the Kingdom of God ..." said Jesus. For all my friends in Enid, I want to encourage you to be a part of a Wednesday night Bible studies (beginning in September) as we examine the unshakeable kingdom of God and why one's view of life and the universe should be unaffected by catastrophic events on earth. In addition, we will examine how life's most basic needs--the need to connect, the need for respect, and the need to protect--are all only fully met in an understanding of, and entrance into, the unshakeable kingdom of God. The kingdom of God was the message of Christ, and it is the hope of every Christian. If you want to know what this unshakeable kingdom looks like and how it affects you, join us on Wednesday nights at 6:00 p.m. in the Fellowship Hall.

Economic storm clouds may be brewing, but the God who loves us rules the universe.

Put your trust in Him.


Anonymous said...

Perfect example of how a lie becomes truth simply because people believe it and don't question emasse.

selahV said...

Powerful post, Wade. Thanks for the book recommendations. Will your Wednesday night studies be put online? selahV

Wade Burleson said...


Thanks for asking. Unfortunately, they will not, though the outlines will be made available.

Thanks for the comment.

Anonymous said...


I believe that the only answer is Jesus -- he is the Son of God, he died for our sins, and he is the only answer.

But, to respond to your article, you are quoting from false sources:


Before you quote from an email that has been circulating since 2000, just try it out in google....

Love you, brother!


Wade Burleson said...


Thanks, man! I'm unsure what it is you think is misquoted. The quote is one I read in the review section of Tom Coburn's book. It was unattributed, with no claim that "so-and-so" said "such-and-such."

Appreciate the SNOPES link, but I think the quote is a good one! If the 200 years is what is in question, then you have a point, but regardless, the problems America face are catastrophic.

Love you too!


Rex Ray said...


Sounds true to me, and it looks like there’s no solution by the majority of the people in America today; starting at the top.

Anonymous said...


The good senator from OK has one opinion among many. Writing a book does not make one the expert. As far as cutting back government spending, ask the Brits right now what the effect has been of their austerity budgets. It is making worse their recession.

Anonymous said...

What does this mean? "The quote is one I read in the review section of Tom Coburn's book."

I honestly confused. The review section?


Anonymous said...

The movie you recommend has some critics also:


I guess the quotes come from dubious sources.

Wade Burleson said...


Go here:


Seventh comment down from Emerald Sparks.

Wade Burleson said...


I watched the entire movie.

Of course there are going to be critics!

I don't agree with NOT paying taxes, but the logic, history and financial analysis of the Federal Reserve is dead on.

By the way, it is neither Republican or Democratic - it is Liberterian in terms of its philosophy.

Anonymous said...

You write: "I'm unsure what it is you think is misquoted."

So, let me get it straight -- you are quoting from a review section of a book that is quoting from an email that has been circulating for 12 years in different versions?

You are the one who began with the phrase, "It has been rightly said...."

Is there any historical evidence that the eight steps have occurred? Is there any historical evidence that "The average age of the world’s greatest civilizations from the beginning of history has been about 200 years."

I see now (from your new post) that the quote comes from the online comment section on ABC. That guy just lifted it from an email that's been floating around for over a decade. How did you evaluate whether what he wrote was true?

The problem here is one of cultural cognition: http://en.wikipedia.org/wiki/Cultural_cognition

People are forming perceptions of risk and related facts that cohere with their self-defining values.


Anonymous said...

And I was being easy going when I said "critics" of the movie. It seems that the movie misquoted a bunch of stuff.

Anonymous said...

Finally, I too encourage people (honestly) to "Seek first the Kingdom of God ..." as Jesus said.

Nothing is more important than your Lord! I also encourage you to be a part of the Wednesday night Bible studies (beginning in September).

And yes, God's Kingdom is unshakeable. Thank God!

Rex Ray said...

Hawk Man,
What do you think of:

Wade Burleson said...


Watched the video at the link you provided.

Very well done.

We Americans are like blind people driving a car on the highway. We don't know what it is in front of us and we can't see the warnings around us.

It is going to get ugly.

Ramesh said...

I will differ with Wade on economics and provide these links as another view. All the below links are from Paul Krugman:

End This Depression Now!

Who To Listen To

Making Ourselves Useless

On The Curious Persistence Of Inflationary Obsession

Is Our Economists Learning?

Economics in the Crisis

I do have to say even though we differ in economics, we share a more wonderful and glorious message and that is of Christ. This message dwarfs any and all differences and IS THE central message of hope and life. Wade preached a wonderful sermon: Hebrews: From Shadow to Substance > Noah Found Grace in the Eyes of the Lord. The entire Hebrews series of sermons are very illuminating of The Message.

Wade Burleson said...

Thy Peace,

Amen! :)

I am an Austrian economist, believing like Jefferson, Lincoln, and other former leaders, that government alone should be allowed to print currency, and that all currency should be redeemable in gold or silver in order to hold in check the desire to borrow and spend without any checks and balances.

But I could not have said it better than you -- what unites us is our view of Christ, not our economic principles!


Wade Burleson said...

Thy Peace,

This link

Review of Krugman's "End This Depression Now!"

states better than I the problems with spend more, tax more, and borrow more.

Johnny D. said...

It really does not matter what any of us thinks is the proper prescription for repairing this impending disaster.

They will print, and they will print like never before. In fact, I believe that all of the world's central banks, after the upcoming election, will do a coordinated print on a scale never before seen.

So, whether us Austrians are right, Wade, or Krugman and Ctrl+P Bernanke are right, will soon enough be made clear. They have no choice. They will print. They are trying to hold it all together right now, because they know once they announce the printing, prices are going up. You can see it now in equities. There are no fundamentals present that can account for a Dow at 13,000+, but there it is. The major players are banking on the printing, and that printed money will flow into equities.

I told somebody on my facebook recently that, rather than argue, I'll just be sitting back and watching. The proof will be in the pudding...er...printing.

Anonymous said...


http://www.youtube.com/watch?v=RWsx1X8PV_A 33 year old clip

Watch "Inside Job" on Netflix economic meltdown that hit America in 2008

A woman sojourner...still processing

Phil L. said...

Great post and pleased to hear of your Austrian views...

For readers that might find this topic interesting - the best Austrian/real market news blog:




Anonymous said...

Hey brother, for those of us who find it a bit much to drive from Georgia to Oklahoma on Wednesday nights, are you basing your study on a book (E. Stanley Jones comes to mind) or your own studies, and can you make it available to a wider audience?

Wade Burleson said...


Absolutely! In addition to E. Stanley Jones' book (which I find superb), George Dana Boardman's book "The Kingdom" is also a foundational read for this study!

abbasgirl said...

I've just begun reading Joel Rosenberg's latest, "Implosion." Are you a fan?

Wade Burleson said...


I have not read it, but let me know what you think and it very well could be on my reading list!

Bryan Riley said...

I first began pondering the Kingdom of God more seriously after reading the Divine Conspiracy by Dallas Willard.

Christiane said...

with the choice today of Paul Ryan on the Republican ticket, we now are faced with very clear choices about economics . . .

I am hopeful that there will be good discussion of
compared and contrasted to
‘solidarity in community’ . . .

with respect to what is best for Christians who wish to live more deeply, the spiritual values of the Gospel;
and seek the way to be faithful to Jesus’ call to respond to the needs of the poor and to those who are left out

do we expect the poor to do this ‘on their own’,
or do we have another choice offered to us as a way to respond in community together, from the heart of Christ ?

A great tenet of the faith is ‘Body of Christ’ and it is felt that the poor and helpless are kept in His Heart and surrounded by the members of the Body who care for them . . .

I look forward to a ‘robust’ discussion on the clear choices offered now to voters.

It is finally at the point where now, people must confront that their vote will impact most heavily on those at the bottom of the economic rung of the ladder . . . and that makes this a moral choice for Christian people

Ramesh said...

The below link points to a harsh reality of GOP:

NYMag > [David Frum] When Did the GOP Lose Touch With Reality?
Some of my Republican friends ask if I’ve gone crazy. I say: Look in the mirror.

Anonymous said...

THY PEACE, thank you for that reference . . .

it looks like you understand what has been going on

Anonymous said...

it’s so very strange . . .

the old, the retired, people in their late forty’s and fifties who know they can’t save enough to survive before they retire,
college students from the middle class, the single mothers (with children) who struggle to make ends meet, the gay community, the immigrants and their relatives among the Hispanic population of this country, those dependent on Medicaid (and their families who serve as their guardians), the nuns on the bus, the members of the black community who for the most unfair reasons lack birth certificates, the unions, the teachers, the firemen, the policemen (many of whom served their country in the military) , and their friends and their parents and brothers and sisters and cousins who love them, those existing on the minimum wage . . . .
I could go on and on and on . . . so many, so many . . .

seen as ‘powerless’ and helpless against their political attackers

perhaps they are, after all, powerless

they don't have the money to lobby for support, and a whole segment of our society embraces politically those who do have extremely wealthy supporters

then there are the new voting restrictions, very new and very restrictive (guess who the targets are?) . . .

it should be a most interesting election year, if nothing else

Muff Potter said...

Pastor Burleson,

I really liked what you said at the end of this post about where you put your trust. The things of this world or the rightful heir who will remove the current prince of this world at some point in future.

Steven Stark said...

I have posted many times before my differing economic views. I have also spoken with Mr. Coburn personally regarding some of these issues. He is a smart guy for sure, but I think he is quite mistaken on the real danger facing America - stopping real investment in our future because of phantom fears of non-existent inflation.

Here are a few points to consider:

1. We will never pay down the debt completely. It has been in existence since 1837, so it's fairly sustainable. In fact, if we did pay it down, then there would be no net financial assets (money owned free and clear without a corresponding debt somewhere in the economy) anywhere. Essentially, there would be no money owned in the aggregate economy.

The US national debt is equal to the amount of savings owned free and clear in the non-government sector. I think Mr. Coburn agrees with me on this this from our conversation.

2. We in no way resemble Weimar. Weimar owed debts in a currency it didn't control. Every cent the US "owes" is in our own currency. Plus France took over the Ruhr valley, Germany's production center, leading Germans to stop working. So Germany had to print its own money to try to pay off debts in a currency that it could not get a hold of, and its workers were not producing anything. That's sure to be inflationary! Luckily, we are a highly productive society (those that can find jobs anyway!) and, once again, we do not owe debts in foreign currency or gold.

3. The debt-to-GDP ratio of the US after WWII was higher than it is now. When did we "pay back" the debt owed on all those tanks and ships? We didn't. Rather, the US economy boomed (after the economy reorganized after the war) and that large-scale government stimulus (the war), put money in the pockets of workers and the middle class which fed our economic engine for decades.

There was no large-scale inflation. We had great GDP growth and a bit of inflation, and the debt-to-GDP ratio receded.

4. This relates back to point one. It is not the quantity of money in existence that drives inflation. It is the amount of spending in relation to production that drives it. Even the "quantity theory of money" equation contains "the velocity of money" as a crucial variable.

If the US government spent 10 trillion dollars on one man, and he put it the bank without spending it, then how could it be inflationary? And no, his bank would not need his deposit in order to lend - any bank can lend at any time and cover its reserves requirements by borrowing.

5. Our problem today is weak GDP, high unemployment, and a misunderstanding of the real dangers facing American - our lack of investment in our children's future.

Do we really think that lowering investments in health care, education, science, infrastructure, etc. is going to help our children? In terms of the real economy, this makes little sense. It's like a farmer deciding not to plant because he can't afford it - it's a reversal of priorities. The "paper" economy exists to serve the real economy - not the other way around.

Anyway, my two cents.......which may become more valuable if the economy continues to stagnate (because of deflation, not because I got any wiser!)


Here is a quick link to a very short Q and A session with UT economist James Galbraith on the nature of public debt.


Steven Stark said...

Now, if only inflation could take care of our family's mortgage and student loans! ;)

Borderline said...


The link above might help to qualify your comments Wade and thank you for an interesting read.

Steve Martin said...

Thank you for this.

Yes. Things are going to get VERY ugly. Very ugly.

Thanks be to God that we don't put our ultimate hope in the prices of this world...or we'd be lost for sure.