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Glenn Beck

Brits to Clear Terror Raids with Muslim Leaders; Boston Councilman Wants Remove Citgo Sign

Aired September 26, 2006 - 19:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

GLENN BECK, HOST: Look, it`s World War III, but are we raising the white flag to our enemies? To me, it seems like we are.
Plus, the producer of a new hit CBS series called "Jericho" is going to stop by. Is this guy shamelessly using the end of the world for entertainment and ratings? It is cake (ph).

(BEGIN VIDEO CLIP)

ANNOUNCER: Tonight`s episode is brought to you by bunnies. Fuzzy, adorable bunnies, the only thing we can poke fun at without getting sued.

(END VIDEO CLIP)

BECK: You don`t know how true that bunny thing really is.

Good news and bad news coming out of England. First, the good news -- British soldiers have killed a senior al Qaeda operative in a pre-dawn raid in Iraq.

Now, here is the bad news. British police have agreed to consult a panel of Muslim clerics and leaders before mounting any counterterrorist raids or arrests. This is insanity. Apparently, the police don`t want to offend potential terrorists. No kidding. Smashing idea, chaps.

But, you know, the problem with this is, maybe it`s just me. I`m sure you know. It`s absolutely impossible that one of these clerics just might be playing for the other side or the other team and tip off the terrorists. That could never happen.

Here`s tonight`s point: we need to stop worrying about offending terrorists and offending Muslims. Are we a country that is either advancing or are we a country that is retreating? Every sign that I see seems to be pointing to the direction of a retreat. But we, the people, want to advance. Don`t we?

Here`s how I got there. This political correctness has gone to the absolute ends of insanity. I want to reassure all of the terrorists. Don`t worry, the last thing I want to do is offend you. I`d rather be killing you.

Here`s the thing: if we try too hard to avoid offending people, then we can`t kill or capture them, and then they can kill us without any, really, advance warning, by the way. They`re not exactly meeting with our neighborhood watch to let us know they`re coming to slit our throats.

The British are copying the same and beautiful, and may I also point out, effective system that the French have in place. Have you ever heard of "no go zones"? These are areas within France that have basically receded from their own country. They have their own sets of laws, and the police won`t go into them without warning or reinforcements. Most of these "no go zones" in France are in Muslim communities.

Remember these pictures? Look at these pictures. Remember these? These are the riots in France. This is why the French police had a hard time containing the riots last year.

You can`t start permitting radical governments to operate within your borders. This is one more step closer to Shariah law. It`s saying that you have the power and authority, not us, the people, the country. Who do they think they are? Can you imagine the outrage if a wealthy community decided to do the same thing? "Well, you can`t come in here without talking to our people first."

I think if there were priests inside of a church who are molesting young boys. First of all, I`m not going to call a group of Catholic leaders to give them "advance warning". I`m going to get a judge, I`m going to get a warrant, I`m going to go inside, and I`m going to stop the molestation. And you know what? Catholics would agree with me. I wouldn`t give a crap who I offended in the process.

The bottom line is we`re in World War III, and our safety trumps people`s hurt feelings. Get over it.

Here`s what I don`t -- what I do know tonight. What the British are planning on doing is absolutely the sign of retreat. We need to either believe in what we`re doing and believe that we`re right and crush terror, or just accept that we`re wrong.

But this indicates that we are afraid to step up to the plate. And I`m sorry, but if you live within our borders, you play by our rules. If the police suspect you of terrorism, they should be able to simply get a warrant and kick your fricking door down, without advance warning from a cleric. And if you don`t like it, well, then get tough, move. We`re not changing the rules so we don`t offend you or your sensibilities.

You know what? I, for one, was really offended by the 3,000 people that were killed on 9/11. Oh, no, I was just thinking. Did we get advance warning for that? No. Not so much on that one.

Here`s what I don`t know. Now I`m sounding like a broken record. What the heck is wrong with people? Did you see what happened in France? I honestly thought the British government got it.

Nile Gardiner from the Thatcher Center for Freedom. Nile, is this happening because we`re afraid?

NILE GARDINER, THATCHER CENTER FOR FREEDOM: This is happening because of the call for political correctness in the United Kingdom and the culture of political correctness that has infiltrated, I think, sections of the British police, certainly the foreign office and the home office.

And I think this is a ridiculous policy to be giving an early alert and warning to Muslim organizations with regard to raids that are going to be taking place on extremists.

BECK: I`ve got to tell you, I don`t think it`s just because of political correctness. I think people are afraid. I think these people have kicked up so much dust, they riot in the streets. They set things on fire. And people in England are afraid, and so they don`t want that to happen, and so they give in.

GARDINER: I think there is certainly a culture of fear existing in Britain, after all, there are two million Muslims in the UK. A significant minority of that population are extremists.

It`s estimated, for example, that there are between 400 and 600 al Qaeda operatives in the UK. It`s also estimated there could be up to 16,000 Muslim extremists operating in private UK, 3,000 British Muslims have received training in camps, Afghanistan, individuals who pose a fundamental threat not only to British security but also, of course, to British soldiers serving in Afghanistan and Iraq and also, of course, U.S. forces, as well.

BECK: I have to tell you. I have talked to people who have lived in terrorist communities before under cover, and they say they have gone to Great Britain. And they have met with the terrorist cells over in Great Britain, if you will. They are -- they said that these people make, in Great Britain make the people in the people in the Middle East look like Dolly Madison.

GARDINER: We are dealing with a culture of home-grown extremism in the UK with large numbers of Muslim extremists actually born in the United Kingdom actually working in conjunction with al Qaeda operatives.

The London bombings were carried out by British born Muslims. The recent attempt to blow up 10 U.S. airliners over the Atlantic flying from the UK to the United States were plotted by Muslims who have spent all their lives in the United Kingdom. They`re working together with al Qaeda`s high command, and we are dealing, really, with a hornet`s nest of Islamic extremism in the United Kingdom that does have to be dealt with very severely. Some sort of policy of appeasement is not going to work. It`s simply going to embolden the extremists.

BECK: You know, Nile, here`s what I don`t understand. Here in America, in World War II, we did something that was absolutely horrific. We put people in internment camp because they -- you know, they were Japanese. They looked differently.

However, while we were putting people in internment camps, the Japanese-Americans -- in fact, it was the 442nd, if I`m not mistaken. These guys went over and they fought in Europe as Americans. They were Japanese-Americans. And what they did is they went out and fought. There were more congressional medals of honor given to the 442nd. It was the most decorated group of soldiers in the history of America. Why? Because they had something to prove.

And I don`t see the Muslims standing up, the Muslim community around the world saying, "Wait a minute. I am British. I have something to prove here." Where are those people?

GARDINER: We need to see Muslim leaders, moderate Muslim leaders coming forward, condemning terrorism, supporting the war on terror and demonstrating their loyalty to the British crown and to the British nation.

We need to see Muslim leaders condemning the extremists in their midst and cooperating fully with the police and authorities. Unfortunately, we are seeing infiltration of major Muslim organizations in the United Kingdom by extremists. And unfortunately, the British government is simply not doing enough to clamp down upon these extremists.

BECK: All right. Nile, thank you very much.

GARDINER: Thank you.

BECK: Now, on last night`s program, I may what you might call a slight factual error. I said the USS Cole was bombed in 1998, thinking U.S. embassy bombings, saying USS Cole. Sorry. My bad.

But this may come as a shock to you, but I am not perfect. No, I mean, awfully close, sure, but you have to go all the way back to 1995 on my radio show, to find the last time I got something wrong.

(BEGIN VIDEO CLIP)

BECK: All righty, everybody Good morning. That was Hootie & the Blowfish, "I Only Wanna Be With You". And let me tell you, this is one band you`re going to be hearing a lot from in the next few years. No, you know what? Decades to come.

All right. After the break, we`re going to be talking about a show that I just saw for the first time last night. Quite frankly, this is a piece of crap. I`m going to go out on a limb and tell you that this show is probably going to be the first show cancelled this season. It`s a new show called "Friends".

All that and more coming up on the Glenn Beck program.

(END VIDEO CLIP)

ANNOUNCER: This is GLENN BECK.

BECK: Landmark signs and controversial proposals. See what`s got Boston up in arms. And you need to know about the real estate bubble. Has it finally burst?

Also, exploiting the end times for entertainment and ratings? I mean, who does that? Don`t miss it. Coming up.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

BECK: Clarke is -- he`s supposed to be the ultimate unquestioned voice on terror. His ideas really didn`t stop the Cole, now did they? The embassy bombings, 9/11, any of the other terrorist attacks.

I know this is going out on a limb. I believe the only one that does have control over these things are the terrorists.

A side note, your honor? Just for a second. Can we call him Richard Clarke? I can`t take any terrorist czar seriously if we call him Dick Clarke. I mean, unless he`s telling you about a new band, you know, a beer, an anti-aging cream, something like that. I can`t take Dick Clarke seriously on terrorist talk.

(END VIDEO CLIP)

BECK: We`re talking about Citgo and Hugo Chavez here in a second. But first, I want to continue with our series called "Missed by the Media". This is where we`ll show you some of what -- what people are seeing in the Middle East on their own televisions. But you`re not seeing them for some reason.

Today`s clip was supplied to us by "Memory" and it is from the Iranian TV equivalent of "Dateline NBC". It features a hard-hitting investigative report on an American soft drink industry.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE (through translator): If only it was that simple. The Zionists are the largest shareholders of the world`s drink manufacturers. They make hundreds of thousands of billions of dollars from this annually. This way, they export their colonialist schemes along with this product at no additional cost.

Take, for example, the Pepsi drink. Do you know what the name Pepsi stands for? "Pay Each Penny Save Israel."

(END VIDE CLIP)

BECK: Is that incredible? It`s like a joke. It`s like a funny sketch on "Saturday Night Live". Propaganda, absolutely unbelievable.

My favorite line personally, "hundreds of thousands of billions of dollars." Wasn`t that like when we were in the fourth grade and we used to make up numbers like it`s going to be a trillion billion dollars, too.

When you see a video like this, it makes things so much easier to understand why so many people over in the Middle East just don`t know what to believe anymore.

I also want to remind you that we are still searching for this man, a U.S. citizen who goes by the alias, Jafer the Pilot. Clever, huh?

He may -- and I stress may -- be masterminding a new terrorist plot here on U.S. soil. He is also a known al Qaeda cell leader who has been missing and wanted since 2003.

Please, if you see Jafer the pilot, contact the FBI immediately.

All right. If you have watched this show for more than, well, 30 seconds you know that we`ve been talking about Hugo Chavez almost since the first day we went on the air.

But apparently, it took last week`s tirade in which Chavez called President Bush "the devil" at an official U.N. meeting before the rest of the country woke up just to how much he really hates us.

So now that the American people finally get it, many of them have decided that it`s time to strike back with some good old-fashioned capitalism. And with that, what better place to start than with Citgo, a company owned by the Venezuelan government?

This past weekend, Allston-Brighton city councilor Jerry McDermott filed a resolution asking the council to remove the famous Citgo sign from the top of a Boston University building.

Now, Jerry is with us.

Councilor, this is a landmark sign. What is the reaction to the proposal in Boston?

JERRY MCDERMOTT, ALLSTON-BRIGHTON CITY COUNCILOR: It`s actually been mixed. I was surprised at the member of e-mail from folks who consider themselves a member of Red Sox nation, if you will, those diehard fans, the season ticket holders. I`ll tell you, they`re a patriotic bunch.

And I was expecting to really get blasted by those fans, and I have to tell you, the reaction has been very positive. Folks have said, "Absolutely, take the sign down. Even though I`m a season ticket holder, I`m an American first."

People were just outraged at the comments that Hugo Chavez made. So I`ve been very pleased, actually, with the comments from Red Sox nation. And most Bostonians agree that something else should go in place of that Citgo sign.

BECK: I talked to a good friend of mine today. He is -- he`s spent a lot of time in Boston. He`s a huge Red Sox fan, and he said, gladly. I see that, I think of the Sox. I don`t think of Venezuela. And you know, the time will come where Chavez has, you know, been thrown out of office or offed or whatever. And then what do we do? The sign`s gone. It`s -- I mean, it`s been there since what? 1965?

MCDERMOTT: Yes, since 1965. And I for one, you know, was born and raised in Boston. I was born in `67, the year the Sox won the pennant. I used to get the warm fuzzies like everybody else when you saw that Citgo sign and you knew you were on your way into the game.

But looking at that sign now, it`s become a symbol of foreign aggression, a symbol of this guy who means to do us harm, if he can.

BECK: Yes.

MCDERMOTT: And as published reports have said -- I`m sure you`ve talked about it in the show -- he said that if there`s a choice to be made, he`ll choose to side with Iran over the United States, even if we simply try to defend ourselves to stop the nuclear proliferation.

BECK: Yes, he signed a pact, with several treaties with Iran that says he will -- he will consider an attack on Iran, an attack on Venezuela. And he`s also deeply in bed with Cuba. I mean, he`s just not a god guy.

But let me play devil`s advocate here with you for a second. Me personally, I wouldn`t want to see the sign. I agree with you. However, what do you say to people who say, come on, man. It`s capitalism. There are a lot of really bad people selling us bad stuff. You can`t stop advertising. It`s -- you know, there`s a lot of good people even that work for Citgo.

MCDERMOTT: That`s true. We can -- we can use the office of the city council, of the mayor of Boston as a bully pulpit, if you will. And what I`m trying is conduct a hearing at the city council, bring in representatives from Citgo, bring in representatives from Boston University, because the Citgo sign sits atop 660 Beacon Street in Kenmore Square, Boston. That building is owned by the trustees of Boston University. They may have an appetite not to renew that lease.

BECK: Yes.

MCDERMOTT: And then it won`t take any action or government intervention at all. It would just be a business deal where B.U. decides not to renew the lease with Citgo. I for one would like to see an American flag up there.

BECK: Yes, councilor, I`d love to hear what they have to say to you. Citgo won`t -- we`ve asked Citgo on this program and they -- I don`t think they like me too much. But what do you think of...

MCDERMOTT: I don`t think they like me too much either. What do you think about their discounted oil program that Chavez was trying to push?

MCDERMOTT: I have nothing against that kind of a program. But I think we all see Chavez for what he is, and he`s trying to drive a wedge in this country. He knows there`s a deep divide in America right now.

I`m a Democrat. The president, George W. Bush, is a Republican. But there`s huge hyper partisan politics going on right now in the country. But I think much -- you know, much of that has been built upon by people like Chavez.

BECK: yes.

MCDERMOTT: And the president of Iran. They know there`s wounds there they can -- they can throw salt in. So I think that`s all he`s doing with his oil program.

BECK: Councilman, I appreciate it and congratulations for being a Democrat and a guy who is not running for re-election and doing the right thing. Appreciate it. Back in a minute.

MCDERMOTT: Thank you very much.

(COMMERCIAL BREAK)

BECK: Everyday, you can hear my radio program on stations all across the country, including 1110-KFAB in Omaha, Nebraska. And if you can`t find an affiliate in your area, you can sign up to listen to show online on my web site at GlennBeck.com.

We now go to St. Louis and 91.1 FM. Dave Glover, our affiliate in St. Louis.

How are you, Dave?

DAVE GLOVER, RADIO TALK SHOW HOST: Good, man. How are you doing, buddy?

BECK: I`m doing good. Have you been following the car dealer in Columbus, Ohio?

GLOVER: Oh, have I. Yes. There`s some people don`t know about this. A car dealer in Ohio, a Mitsubishi dealer, had some radio ads pulled that were going to be a jihad on the automotive market. All the sales persons were going to be wearing burkhas. And here`s my favorite: rubber swords for the kids on Fatwa Friday. And the slogan was "Our prices are lower than evil doers. Just ask the pope."

BECK: See? You see what I mean? Now, they pulled this thing. And I`ve heard the commercial. It is -- it is a little over the top for -- for car sales.

However, you know, what came to mind, and tell me where I`m going wrong here, Dave.

GLOVER: OK.

BECK: Back in World War II, we wouldn`t have had a problem with this spot. You know, if you`re making -- you know who would have been offended by that?

GLOVER: Who?

BECK: Jews. Jews would have been like, "Can we not make fun of the Holocaust here?" We would have been wrong for doing it. But we -- defending Nazis, I don`t think so.

GLOVER: There`s always someone standing in the way of good car sales.

BECK: That`s right. That`s right.

GLOVER: You know, he tells me as much as we want to be politically correct in this country, we`re just not very good at it. We`re really good at selling things, with the genius of the Fatwa Friday.

BECK: Right.

GLOVER: But we`re not very good at being politically incorrect.

BECK: No, here`s the thing. I think the average person hates political correctness.

GLOVER: Absolutely.

BECK: We absolutely hate it. We want to start talking to each other. You want to be able to -- you know what kills me? Is let`s stop being so offended. I think we`re crippling our kids.

GLOVER: Absolutely.

BECK: Sticks and stones may break my bones, you know what I mean?

GLOVER: Sure.

BECK: Did we not learn that as kids?

GLOVER: To give the kids the rubber swords and led them fight it out.

BECK: Right.

GLOVER: Because you`re going to move some Mitsubishis.

Now, have you heard -- have you heard about the Mohammed bobblehead doll?

BECK: I don`t think...

GLOVER: Am I breaking this story? Lovely. Yes, someone sent it to me today. They want to be a guest on my radio show. You`ve seen the dashboard Jesus bobblehead.

BECK: Yes.

GLOVER: Well, now, there`s going to be a Mohammed dashboard bobblehead. And the guy basically said, "I know they`re probably going to want to behead me but I`m going to move a couple million units of this by Christmas."

BECK: You know, has he heard the phrase, you can`t take it with you?

GLOVER: Suddenly, the guy in Ohio doesn`t look that bad.

BECK: I know. All of a sudden you`re like, "Play the car spot."

GLOVER: It`s all irrelevant, man.

BECK: All right. So we have a minute. Let me talk to you about Oprah Winfrey.

GLOVER: Yes.

BECK: She started this new XM channel. I mean, this -- to me, when women say, you know, there`s no female voice out there, I point to Oprah and say, "Oprah is the female voice, not Jane Fond."

GLOVER: I`ve often considered myself the female voice. Have you heard about the whole president thing?

BECK: No.

GLOVER: They want her to run for president.

BECK: Oh, yes, yes, yes.

GLOVER: Which I am completely on just for the one time that little Hugo Chavez can get up on her little yellow couch and do the Tom Cruise. Just once.

BECK: You know, Oprah Winfrey, I find her amazing. I don`t agree with all of her values, but I think she`s a -- she`s a remarkable woman.

GLOVER: Yes.

BECK: Thanks very much, Dave. Talk to you later.

GLOVER: You bet.

(COMMERCIAL BREAK)

BECK: All right. Welcome to "The Real Story." This is where we try to cut through the media spin and figure out why a story is actually important to you.

First tonight, the Democrats` assault on the Republicans over Iraq is continuing after a small portion of that classified intelligence assessment leaked out on Sunday, inferring that the Iraq war had increased the terror threat.

The real story tonight isn`t that the Democrats are so shamelessly playing politics in calling for hearings and investigations, like that; it`s that everyone is ignoring the White House`s comment, which came out at the time. It was, quote, "The characterization of the report is not representative of the complete document."

Now, I have a theory. I shared this on the radio show this morning, and it is complete speculation. But what if the Republicans knew exactly how the Democrats would respond to this "mysteriously leaked" paragraph and they decided to use that extraordinarily predictable reaction against them?

Today, President Bush said, "All right, I`ll declassify more of the report," to which the Democrats promptly said, "Whoa, whoa, whoa, wait a minute. We want secret session." Now, they were denied, but this is something that has only happened five times since 1812.

Why is it the Democrats suddenly wanted to talk about this in secret? What happened to all those big, public hearings with the TV cameras? This story is about politics. But my bet? The party behind it isn`t the one everybody thinks it is.

Next, the big story today is that prices of existing homes had their second largest drop in 38 years last month. There are now more homes for sale than ever before. But the real story is these numbers shouldn`t come really as a surprise to anybody.

Last year, my favorite sleep-aid, "The Economist" magazine, said that the housing boom was, quote, "the biggest bubble in history." But you know what? Bubbles have happened before, and some of them were just absolutely nuts. In the 1600s, the Dutch went nuts over tulips. Yes, tulips.

At first, it was just professional growers who were involved, but once the word spread -- and I`m not making this up -- how huge the profits were in tulip bulbs, everybody wanted in. They started selling tulip bulbs multiple times without ever leaving the ground. I mean, the futures market sprouted up faster than the tulips did. And people were selling bulbs to people who didn`t own bulbs and who couldn`t pay for bulbs.

I think you know how this story ends. Not happy. Buyers got nervous about prices, and the whole industry basically collapsed overnight. Tulips were being sold, once again, rationally, like tulips.

Looking back, the tulip bubble possibly the first-ever instance of "the greater fool theory," which says that people, you know, they`ll buy anything, for any price, if they believe they`ll be able to sell at even a higher price to a bigger fool.

But apparently, the people who flocked to Florida in the 1920s never really heard of that theory. They drove up the price of land in 1925 over 400 percent in one year. The market was so hot that there were over 25,000 real estate agents in Miami alone. That was a city of 150,000 residents.

That summer, "The Miami Daily News" printed an edition of the newspaper 504 pages long because of all the real estate ads. It was the largest paper ever printed. A few years later, a series of hurricanes made the people question whether the greater fool was still around. Turns out, no, not so much, and the prices collapsed in Florida.

Then came what we all know now as the Great Depression, but at the time, they called it "a new era." The old rules just don`t apply anymore. Does this sound familiar? No, don`t worry about those old rules. Three years later, after the market had lost 80 percent of its value, people realized, "Yes, maybe the old rules still do apply."

Then, almost 60 years later, the market crashed again. This time, it took one day to fall 23 percent, $500 billion in value gone. A decade after that, the Internet was the brand-new thing. Every bar in America -- you remember this? -- everybody had CNBC on, and everybody you knew was an expert. Six years, the Nasdaq climbed from 700 six years later to 5,000; 2 1/2 years later, it had lost 78 percent, $5.6 trillion dollars in value gone.

Today, there are more real estate shows on television than ever before. California has 500,000 real estate agents. That`s one for every 52 adults. Even with the recent decline, housing prices are still up nearly 100 percent in under a decade. Mark Twain once said, "History doesn`t repeat itself, but it does kind of rhyme."

Shawn Tully, he`s a senior writer for "Fortune" magazine. Is history repeating itself or does it just sound like all the other bubbles?

SHAWN TULLY, SENIOR WRITER, "FORTUNE": History is definitely repeating itself. It`s very similar to the tulip bulb craze in the sense that, when tulips got really expensive, there was a lot of money in farming tulips, and they sprouted everywhere.

Buildings are sprouting everywhere, and so are houses, and that`s driving the prices down. There`s an oversupply of existing homes, and there`s also an oversupply of new homes. And there`s only one way this thing can end up, just like every other cycle in the real estate industry: Prices have to go down.

BECK: OK. Here`s what`s frightening to me, at least, me and my wife. We just bought a new home in Connecticut. Driving down our street, there are eight homes for sale. There are builders still building homes on our street. And I`m thinking to myself, "Boy, I wouldn`t want to be that guy." How bad is this thing going to get?

TULLY: Well, typically what happens is, in the first two years of a correction, the prices drop substantially, usually about 10 percent a year. So you have 22 percent drop in two years. After that, they go flat, and they tend to stay flat.

This is in the bubble area. It`s not the whole country. But the coastal areas, especially in certain markets like Sacramento, Phoenix, Las Vegas, that are inland markets, that are very, very hot, or have been very, very hot. So then you have just a flat market for several years, very few transactions, hard to get out if you want to sell. And you just lose to inflation. So that`s what`s going to happen.

BECK: OK, so we`ve seen this movie before. But isn`t it actually worse this time? Because I remember, when we bought our house, you know, they talked to us and, "Hey, you could get this kind of loan and this." And I said, "What? That doesn`t make any sense at all. Interest only? Are you out of your mind?" So many people have these loans that -- I mean, they couldn`t afford the house in the first place. They were only paying for the interest.

TULLY: Well, they have interest-only loans. They have ARMs that reset after three years, so the ones that were taken out in 2002 or 2003, at very low interest rates, about 3.5 percent, are resetting now, at 5 percent or 5.5 percent, so that`s a 40 percent increase in your monthly payment.

And, also, you`ve got these negative amortization ARMs where the principal on the loan keeps going up, because you don`t even have to make the full interest payment. So the interest you don`t pay gets rolled back into the principal of the loan, so you lose equity every month, and you could be underwater already. So, I mean, it`s just generating negative equity.

BECK: Shawn, I don`t know about you, but I find it really hard to feel bad for those people that did that. I mean, everybody knew at the time, that is just insanity. What are you doing?

TULLY: People never learn. The world always changes. I was in a restaurant on the Upper East Side, and I was waiting for a friend to come. And the waitress is telling me she`s about to go down to Miami because her sister is buying condos, and she`s got to buy a condo. And I said, "Whatever you do, don`t get on that plane." And I hope she didn`t. If she didn`t, she owes me a commission.

BECK: So I have a sister who is talking about selling her house right now and buying another one. Tips: Do it or not?

TULLY: No. And if you have a house now, you don`t want to be selling. It`s not a great time to sell. And, also, there`s a lot of transaction costs in selling. You`ve got to pay commissions. You`ve got to pay taxes.

In New York, there`s this outrageous transfer tax that you have to pay if you`re a New York resident. So once you pay all these taxes, you`re not going to make any money selling, buying something cheaper, and selling again. If you have a house, you don`t have to sell. Ride out this decline. I think it is not a good time to sell. You...

(CROSSTALK)

BECK: And the decline -- quickly, I`m out of time -- the decline you think will last how long?

TULLY: About five years.

BECK: Wow. All right, Shawn, thanks a lot.

That is our real story tonight. If you`d like to read more about famous bubbles throughout history, you`re a loser -- but, I mean, maybe -- including the current real estate, then all you have to do is find "The Real Story." You can visit my Web site at glennbeck.com, click on "The Real Story" button. That`s where you can also send us your real story.

All right. Let`s go "Straight to Hill" with Erica Hill, the anchor of "PRIME NEWS" on Headline News.

Hi, Erica.

ERICA HILL, CNN HEADLINE NEWS ANCHOR: Hi, Glenn, how you doing?

BECK: I am doing very well.

HILL: I`m happy to hear that.

BECK: I don`t know if you really are.

HILL: I really am.

BECK: Are you?

HILL: My nose isn`t growing is it?

BECK: How are you feeling?

HILL: I`m feeling really well, thank you.

BECK: Good. See, I really care.

HILL: And I appreciate that.

BECK: OK.

HILL: It`s nice that we all care. You want some news?

BECK: Sure.

HILL: OK, Enron back in the headlines. That`s because the former chief financial officer, Andrew Fastow -- you may remember him -- sentenced today. He`s going to spend the next six years in prison. He was immediately taken into custody. Now, of course, he was one of the key figures in the collapse of the one-time energy giant. He was actually...

BECK: May I ask a question?

HILL: Yes.

BECK: Just a side note. Sorry, riddled with ADD. Do you have the Vegas odds on that he suddenly falls ill?

HILL: Well, he`s already in -- I mean, they took him immediately into custody.

BECK: Yes, well, I mean, he can fall ill.

HILL: No. If I had known, I would have called up a bookie in advance so I could get you the...

(CROSSTALK)

BECK: He`s going to fall ill. They`ll be shipping him off to the Disney freezer where Walt and Ken Lay are. You know it, and I know it.

HILL: Now, now.

BECK: So he`s six years in jail?

HILL: Six years. He actually -- he had sort of agreed to 10, said, "Hey, you know, I`m going to serve 10. I understand that." He also kind of helped out people. And the judge said, "You know what? Because you`ve shown some remorse, I`m only going to give you six." So he actually made out, you know, well, I guess.

BECK: That`s good. Yes, he did make out well. Thank you very much, Erica.

HILL: See you tomorrow.

BECK: Bye.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

BECK: Doomsday means doomsday. Armageddon means Armageddon. Without chaos, the 12th imam can`t come back. I don`t know. Dan, do you think chaos is kind of understating Armageddon?

UNIDENTIFIED MALE: Maybe a little bit.

BECK: Maybe a little bit.

UNIDENTIFIED MALE: Chaos is kind of like after a big game when the crowds are going a little crazy, running onto the field.

BECK: Yes, I don`t know if chaos would be the right word.

UNIDENTIFIED MALE: How about wackiness?

BECK: Armageddon, it`s like wackiness. I don`t think that works. All right. So use another word for chaos, because it doesn`t really translate the same as what I think is going to happen right before Armageddon. But know that that chaos means wackiness to us, got it?

(END VIDEO CLIP)

BECK: They were talking a little bit about the Middle East today and what they believe in Iran. And, you know, I know we spend a little bit of time talking about just freaky stuff on this program and, quite honestly, sometimes it scares the bat crap out of me.

Technically, this is a "newsish" kind of show, but I watched the season premiere of a new CBS drama called "Jericho" last week. And it seems pretty freaky. It`s the same kind of stuff that`s freaking me out in the real news, and it freaked my wife out beyond belief. Here`s a clip of the show.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: ... you have to hide better. What are you -- what are you looking at?

(END VIDEO CLIP)

BECK: Yes, just a giant mushroom cloud, that`s all. So "Jericho," designed to entertain, to frighten, or both?

Jon Turteltaub, he is the executive producer of "Jericho," and he joins us now.

Jon, welcome to the program. First of all, great show. I thought it was really, really good, but scary as crap, don`t you think?

JON TURTELTAUB, EXEC. PRODUCER, "JERICHO": Well, first, I`m glad you liked it. How do you have time to watch television?

BECK: You know what? I watch very little television. I made a point, because I saw the commercials for it. And honestly, on my radio program, I had TiVo`d, but didn`t watch it when it first ran. Got a lot of calls on the radio show, and people saw it, and said the same thing. "Glenn, did you see that? I don`t know if I can watch that show. It seems pretty real."

TURTELTAUB: And part of that question is: Is it too -- is it going to freak people out or be too depressing, or is it which we`re hoping, is that it`s an idea that everybody has somewhere inside them, there`s this thought about what that would be like? What is that mushroom cloud? What is the danger out there? What is that monster out there? And, obviously, it worked on you.

BECK: Yes. But you know what? It seems to be a theme. I mean, we talk about this, because it`s really in the news, these kinds of things, I mean, not multiple nukes, I hope, but, you know, Armageddon destruction, whatever you want to call it. These kinds of things are in the news. And I saw NBC, there was a show that premiered on NBC last night that also involved a mushroom cloud over Manhattan.

TURTELTAUB: Yes, I know, I saw that. I thought, "Oh, no."

BECK: Freaky, isn`t it?

TURTELTAUB: Yes.

BECK: What was your thinking when you did this? Where did this come from?

TURTELTAUB: Well, it was an idea that a couple of writers had, brought to me. We developed it. We pitched it to a lot of networks, and they all passed, said too depressing, no one wants to watch this, no one cares, no one cares. CBS disagreed. They thought people will care.

And for us, to me what was interesting was the notion of surviving it. Who are we, especially as Americans, if some event like this took place and took away all of the powers that be that help us identify who we are? How would we be at deciding who we are if we started over?

BECK: I will tell you that the reason I think it was frightening wasn`t actually the mushroom cloud, although that was a little freaky, because you used children, it was little freaky.

The scariest part was the scenes where the community breaks down, where the community -- because, I mean, we watched it happen in New Orleans. And you thought, "Wow, if our society really breaks down all across the country, gosh, you know, I think I`d rather be vaporized."

TURTELTAUB: That brings up -- you`re right. Those are good questions. And when you watch the show, it`s similar to when you watch a news show after a big event. You can ask yourself, "Who would I be in that situation?" I know me. I`d be the guy beaten up and taken away and burned. I`d be food in the new world. I mean, I don`t have a lot to offer.

BECK: My wife and I had a discussion after this, and we talked about that. We`d be like, what do we have to offer? Nothing, absolutely nothing. Eat my body. It`s very fatty.

TURTELTAUB: A plumber would become king because he could do something. And I`d say, "Let me put on a show." No, not useful.

BECK: What is the reaction from the people? We`ve only got 30 seconds. What is the reaction so far from viewers?

TURTELTAUB: I`ll tell you, the reaction has been really strong on two levels. One is that larger than life nuclear event issue, which is funny. Conservatives see it and say, "You see? This could happen." And then liberals see it and say, "You see? This can happen." But they`re coming at it from very different points of view.

BECK: Yes, good.

TURTELTAUB: The other side of it is -- like my wife said. She`s watching, and she just wants to know if the guy and the girl are going to kiss and who falls in love in the...

(CROSSTALK)

BECK: Yes, it`s not really what my wife was thinking at all when she watched. Jon, thank you very much.

We have to check in now with Nancy Grace, see what she`s got coming up on tonight`s program -- Nancy?

NANCY GRACE, HOST: Hey, Glenn. Tonight, the very latest on a search for 2-year-old Florida boy Trenton Duckett. Police now say two more suicides were found inside his mom, Melinda`s, car.

And also, believe it or not, John Mark Karr -- remember, arrested in Thailand, after he confessed to murdering a 6-year-old beauty queen, JonBenet Ramsey -- he is set to walk free on child pornography. Guess what? The Sonoma County sheriff`s office lost the evidence, Glenn, lost the evidence.

BECK: It just doesn`t get any more frustrating. Don`t miss that story, coming up in a little while, with Nancy Grace. She`s on at 8:00 and 10:00 p.m. Eastern right here.

(COMMERCIAL BREAK)

BECK: All right. So, earlier on "The Real Story," you know, we told you about all the problems in the housing market. But I don`t want everybody to drive off a cliff, mainly because there wouldn`t be left -- you know, anybody left watching.

So let me tell you about the good news on the economy that seems almost impossible to find in the media. First of all, gas is now $2.37 a gallon on the average nationwide. That is probably going to put us back to sleep when it comes to getting back off of foreign oil, but at least can we enjoy it for a second?

And Bernie Ebbers today, the WorldCom bigwig that was convicted of orchestrating $11 billion in accounting fraud, showed up for Day One of 25 fabulous years in a Louisiana prison. And I don`t know about you, but it makes me happy that it`s in Louisiana. You got a mighty pretty mouth. I`m just saying.

We already told you about Andrew Fastow, a guy who designed and executed almost every accounting scheme that helped Enron just look like a Ferrari but drive like a Yugo, he`s off to jail, as well, today, only going in for six years. And that is ridiculous, but these guys getting punished, good for the economy.

This all leads me to the other story almost no one is paying attention to. Does anybody realize that we`re about 50 points away from an all-time, end of session for the Dow? Is there anybody out there who realizes that, considering everything we`ve gone through, this economy is a borderline miracle? I mean, you don`t get that from a lot of media sources I know.

I`m not saying that it`s perfect, but you tell me, isn`t this the impression that most people have? All right, Clinton comes in, and the market goes up. And then the day Bush takes office, the Dow drops to $3 and it stayed there ever since.

In real life, we`ve been through a lot, and we`re almost all the way back. In the last six years, we have had the tech bubble burst, the corporate scandals, 9/11, the near collapse of the airlines, the war in Afghanistan, the war in Iraq, flare-ups in Israel, Hurricanes Katrina and Rita, energy going through the roof, Iran and Venezuela meeting 90 miles off of our shores, our government, including our president, spending like Nicole Richie on a diet pill spree.

Yet through all of this, people own homes at rates never before seen, the average American worker makes over $16 bucks an hour, and we`ve got an unemployment rate of 4.7 percent. If we don`t wake up on other areas, that`s going to go away really fast, but it`s OK once in a while to recognize how good things really are here every once in a while.

All right, now back to the Apocalypse. You can e-mail me at glennbeck@cnn.com. We`ll see you tomorrow on the radio, you sick freak.

END