Trade War: Here is why humiliating China is a bad idea

On Monday's episode of "The News & Why it Matters," Glenn Beck, Sara Gonzales, Aaron Colen, and Katie Williams discussed the grip that China has on the United States stock market and the potential blowback from trade wars.

In this clip, Glenn explained that China owns between $12 and $16 trillion in the U.S. stock market through U.S. offshore shell corporations. Should the Chinese become hostile if backed into a corner, they could hit the "sell" button and crash our stock market instantly.

"If you think the Chinese will not do it because they have too much to lose, you are crazy," Glenn said.

According to Glenn, because the Chinese-owned stocks are "funny money" and China is running at a deficit of over 480 percent of their GDP, the Chinese have nothing to lose if our stock market crashes.

"They know it is over. If the question is, 'Do I let the United States have any power over me as I am going down,' you are crazy to think they will let us stand," Glenn said.

The panel went on to discuss the last step before the complete collapse is a trade war.

Later, Williams, a veteran and former Ms. Nevada, explained that the U.S. military is less than the national prison population and that if we go to war with China that we would suffer significantly based on manpower alone.

Watch the clip below for more.

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