Demographic Decline and Stewardship in the Last Days


ray-gano-medAs some of you may know I do not have much faith in the US economy maintaining strong stability. In fact being a student of Bible Prophecy, I do not have any faith in any economy maintaining stability in these last days because God’s Word says that it won’t.

For some of you, you may remember the 1970’s. A lot of very interesting things took place in the 1970’s that are now effecting the US and the world.

In the 1970s OPEC and the US created the Petrol Dollar. What this did was provide the US a virtual monopoly. Having oil being traded in dollars allowed the US to run huge account deficits.
Countries needed oil, thus they had to have US dollars on hand so that they could purchase oil.

What happened is that the US dollar became the standard and global currency reserve. In having the US dollar as the global standard currency reserve the US could spend without the fear of crippling interest rate hikes. And spend we have, to the point of self-destruction and the creation of a fiat currency.

Fiat Currency

In economics, fiat currency or fiat money is money whose purchasing power derives from a declaratory fiat of the government issuing it. It is often associated with paper money unbacked by fixed assets, issued without the promise of redemption in some other form, and accepted by tradition or social convention. Fiat money is called fiduciary money in many languages.

The widespread acceptance of a fiat currency is enhanced by a central authority mandating its acceptance under penalty of law and demanding it in payment of taxes or tribute. Fiat money can be contrasted with alternative forms of currency such as commodity money and private currency.

Most currencies in the world have been fiat money since the end of the international gold standard of the Bretton Woods system in 1971. However, some of the major currencies today, despite being based essentially on arbitrary decree, have become so trusted that they are termed hard currency. (2)

Thomas Jefferson is attributed for stating the following:

“If the American people ever allow private banks to control the issue of their money, first by inflation and then by deflation, the banks and corporations that will grow up around them will deprive the people of their property until their children will wake up homeless on the continent their fathers conquered.”

We know that in history Jefferson fought and warned us about the creation of The Federal Reserve or any private bank which would control the United States’ money. Jefferson was well aware of this because in his day the international bankers were trying to establish a central bank or Federal Reserve.

Here is how Blakes Dictionary of Law defines “Fiat”

“A command or order to act. Arbitrary or authoritative order or decision.” “Fiat money” is likewise defined as, “inconvertible paper money made legal tender by a government decree.” Inconvertible to, for example, gold or silver. Made legal only by government decree. “Colored money”, i.e. money with the “deceptive appearance, assumed exterior, concealing a lack of reality.”   (3)

The money that we use today is called Federal Reserve Notes and they are colored money. If you do not believe me, whip out a $20.00 and look for yourself. In fact look at the really new money that is now out there, it is a lot less green than days gone by. They also have no value, except by virtue of a government decree.

Here is another interesting point. All fiat currencies eventually go belly up and with them the countries that produce them.

But quickly back to OPEC and the Petrol Dollar.

Bill O’Grady of A.G.Edwards stated the following:

“If OPEC decided they didn’t want dollars anymore, it would be the end of American hegemony by signaling the end to the dollar as the sole reserve currency.”
So why do we need to know all this history?

In 1971 President Richard Nixon changed the rules of money. That year, the U.S. dollar ceased being money and became a currency. This was one of the most important changes in modern history, but few people understand why.

Before 1971, the U.S. dollar was backed by gold and silver, which is why the U.S. dollar was also known as a silver certificate. After 1971, the U.S. dollar became a Federal Reserve Note, basically an IOU from the U.S. government. Needless to say, the US has so many IOU’s out there, the reality of paying them back are next to impossible. The U.S. is the largest debtor nation now, in history.

dollar1We need to understand this because history repeats itself.

After World War I, Germany’s monetary system collapsed. While there were many reasons for this, one major reason was that the German government was allowed to print money at will, like we are doing currently. The flood of money that resulted caused uncontrolled inflation, which is starting to take place right now.

If you don’t believe me, when was the last time you bought gas?

There were more marks like there are dollars right now, but they bought less and less. In 1913, a pair of shoes cost 13 marks. By 1923, that same pair of shoes was 32 trillion marks!

As inflation increased, the savings of the middle class was wiped out. With their savings gone, the middle class demanded new leadership. Adolf Hitler was elected Chancellor of Germany in 1933 and, as we know, World War II and the murder of millions of Jews followed.

Do you see where it is we are going here? Adolf Hitler was the precursor of whom?

That was the first part of our history lesson, continuing to our second part of our history lesson.

ERISA LAW – Demographic Decline #1

In the 1970’s there was a law created that when it came out, it was touted as a great law, a law for the people. The law was called “ERISA” or known as the “Employee Retirement Income Security Act. This is the law that gave birth to the 401(k).

One of the reasons ERISA is significant is because it forced millions of employees to become investors, investors without any financial training or education. This is why the financial expert’s advice is “Work hard, save money, get out of debt, invest for the long term, and diversify, diversify, diversify.”

Warren Buffet made a great statement that kind of sums this up; “Wall Street is the only place that people ride to in a Rolls Royce to get advice from those that take the subway

Many people know that the Baby Boomer generation is the largest generation in history. Many of our companies made millions from the baby boomer wave. When the baby boomers had kids, Gerber made millions. When the baby boomer kids got older, Matel, Hasbro, etc. made millions.

The baby boomer’s lived life at a fast pace, thus was born McDonalds, Burger King, etc. I point these things out because the baby boomers are a generation to be considered.

When the baby boomers bought, companies made millions.

Baby Boomers have money they have saved for retirement via their 401(k), IRAs, etc.

Between 1995 and 2005 the millions of people who followed the “Work hard, save money, get out of debt, invest for the long term, and diversify, diversify, diversify.” advice lost an estimated $7-9 trillion. And much worse than losing $7-9 trillion, the people who followed that advice missed out on what the economist and other magazines called the biggest financial boom in history.

Not only did those investors lose money from the 2000-2003 stock market crash, they failed to make a lot of money in the financial boom in real estate and commodities. That is the price of bad advice and even worse not having the knowledge to know better and the education.

But back to ERISA…

ERISA has a major flaw that many people do not look at or even know of. ERISA has a mandatory withdrawal mechanism at age seventy and a half. At that age you MUST start withdrawing your money from the 401(k)s, IRAs, etc. That means millions of baby boomers will be forced to systematically withdraw from their 401(k), IRAs.

Where is all this money invested? It is in the stock market.

As I stated before, when the baby boomers BOUGHT, companies made millions.

In the year, 2006, the first baby boomers turned 60.

What will happen when the baby boomers start to sell?

In 2016 it is estimated that there will be 2,282,887 baby boomers that are turning seventy. They all must start selling, and pulling their money out of the stock market.

In 2017 it jumps to 2,928,818 more people. That is about 700,000 more people than the year before that will start selling and pulling their money out of the stock market too. (1)

That is 5,211,705 people together. That many people will affect the economy and more are added each year for approximately 20 years. We did not count the immigrants either in the mix. (1)

All in all, that is a lot of stock being sold, or at least trying to be sold.

What happens when millions of people start selling millions of shares of stock?

The prices start to drop and fast.

The laws of supply and demand will come into effect, and the odds of major panic just increased enormously.

So why is there a mandatory withdrawal? Why not just change the laws? All that money that was put in was put there tax free. Uncle Sam now wants his due…the taxes. This is another reason why the huge spending, the fiat currency, etc. This is also why we will probably never see the death tax go away any time soon.

In knowing this, how many countries are going to maintain buying dollars? Wouldn’t it be wise of them to start finding another secure global currency reserve prior to this happening? What about possibly making their own currency a global currency reserve?

That is history lesson part 2 and now… The Direct Road Ahead

Housing Market Drops Through the Floor – Demographic Decline #2

As we saw with the ERISA Law and retiring baby boomer impacting everyone, it will be around 2015-2016 where the housing market will also take a steep decline into the void.


Same reason, the baby boomers are selling their homes, downsizing.

“(The Atlantic) In the coming years, baby boomers will be moving on (inching further through the python, if you will). “They will want to sell their homes, and they’re hoping there are people behind them to buy their homes,” says Nelson, director of the Metropolitan Research Center at the University of Utah.

He expects that in growing metros like Atlanta and Dallas, those buyers will be waiting. But elsewhere, in shrinking and stagnant cities across the country, the story will be quite different.

Nelson calls what’s coming the “great senior sell-off.” It’ll start sometime later this decade (Nelson is defining baby boomers as those people born between 1946 and 1964). And he predicts that it could cause our next real housing crisis.”

So essentially 50+ percent of all owner-occupied homes are owned by those 55 and older.

BUT … as you can see by the chart, peak ownership is ages 70 – 74.

The very same age that ERISA takes effect.

Remember, baby boomers age 70 and a half MUST start taking out their retirement earnings and taxes will be paid. The government will demand their pound of flesh.

But there is another leverage taking place.

The dollar does not buy as much as it used to. So many of these 70 + year old baby boomers will have to downsize to make up the losses.

In 2011, the first of the baby boom generation reached prime retirement age, 70 and a half.

For the next 18 years, boomers will be turning 70.5 years old at a rate of about 8,000 a day.

That is approximately 2.9 million every year and growing as the years progress.

Baby boomers continue to redefine what takes place in our nation.

There is nothing that congress can do, the president can do, no laws, nothing.

The baby boomer demographic has ALWAYS created and caused change due to the sheer numbers in that generation.

broke-no-moneyWhere once the baby boomer generation created opportunity and growth, today will create decline and depression because the baby boomers will hold on to more of their money instead of spending it in the public’s domain.

What the US is experiencing now and will continue to experience is the negative economic impact of the baby boomer generation.

This negative impact will continue till about 2020 – 2025.

Because of this negative impact, more and more baby boomers MUST cash out of the stock market.

This WILL create an economic vacuum.

The baby boomers, due to economic losses WILL DOWNSIZE and sell their homes. This too will create a negative economic vacuum.

In today’s world, home equity won’t pay the hospital bills or feed you for the month. They will be forced to sell and unlock that cash.

It is a demographic fact that there are not enough buyers for homes today to absorb the amount of homes that are coming on the market.

Now the positive news is that if you have resources set aside, you will be able to pick up a home, land, vacation property at pennies on the dollar. But you must be your own bank. The banks will not be loaning money, they are in debt to the hilt, which is why they are not loaning out today.

So the means to acquire a loan will get harder and harder as more and more homes go on the market.

Now because of this downsize in the housing market, it will cause the price of homes to drop through the floor. Home owners now will become severely upside down and most likely be forced into foreclosure because banks will start predatory practices and start calling in home loans.

Most people will not be able to pay the loan when it is called and will foreclose.

SO… if you have a home right now that you do not own outright and you still have a good chunk of it to pay off, as much as I hate to say it, you will probably lose your home due to predatory banking practices.

This happened in Argentina, Greece, Pre WWII Germany, even during the great depression.

It will happen again.

If I owned a home, I would get out from under it, sock the $$ away and then buy again when prices have dropped through the floor.

During the great depression one of the famous investors said “Buy when there is blood in the streets.”

We will see that again, and those who have had the foresight to sock $$ away will be able to take advantage of this time and acquire / require property again for literally pennies on the dollar.

This is pure demographics and the power of the baby boomer generation and there is NOTHING anyone can do about it, short of some form of martial law and out and out communism.

Now could that take place?

Realistically speaking, yes it could. But that is an entirely different article that I will possibly address in the future.

Stewardship in the Last Days

The issue of stewardship has been on my mind for quite some time and I feel that I can’t hold my voice and efforts back anymore. Folks we are living in the last days and we know the outcome.

With that said we have the PZ Preparedness Area, PZ Prep Library, The UNDERGROUND and other things we are doing on the Prophezine website. In these areas we have, articles, information, ebooks geared towards living in the last days.

It is my desire to help you educate yourself and ourselves as well. The information may not be comforting or popular, but I will try to make sure it is factual and even come from real life experience, mine and others.

Being students of Bible Prophecy we know that things are not going to be getting better, instead they will get worse.

I hope that I have pointed that out to you in this article. We are driving down a hill that may offer a few flat areas and possible even some “ups.” No matter what, the road is still going down.

NONE of us have that magic 8-Ball that tells us when the Lord will return. That is a fact. It is also a fact that we all have our “favored” teaching be it pre, mid, post or whatever, but that is all it is, something that we have placed our hope in.

Just because we place our hope in a traditional teaching does not mean that it will come about just because we desire it to do so.

We need to be very realistic and face the fact that a raging storm that will rock our nation IS COMING.

Let me ask you this, what happens if the Lord tarries another 2 – 5 – 10 – 20 years?

family-preparednessWe are still that nation spiraling downward at a very fast pace… and that pace is picking up the further down we spiral.

So how do we be good stewards with what the Lord has given us?

I strongly feel that times are coming where we as Christians are going to need to be more self-reliant and self-sufficient and a lot more educated.

Hosea 4:6a My people are destroyed (perish) for lack of knowledge.

I am not endorsing everyone buying guns and moving to the mountains, what I am hoping to do is provide ideas and possible solutions that are good for you and your family.

I hope to educate those who are looking for new ideas about stewardship — even if they are unpopular.

As Christians there are so many opportunities to present the gospel and the hope of our Lord’s soon return and as things get worse, that opportunity will go up.

Our problem is that if we are not “positioned” to share, give and bless then we have failed in a great opportunity and calling.

In being good stewards of what the Lord has provided for us, we in turn will have the means to share, give and bless others who need our help. Be it through advice, education and even physical assistance such as finance, food, etc.

BUT if you do nothing or do very little, how will you fulfill the great commission and the great commandment?

I am not preaching and teaching this out of fear. I am preaching and teaching this out of the opportunity to recover losses.

Over the past 30 years we as Christians have SEVERLY dropped the ball. We have allowed all sorts of foul things to come into place because we were too complacent or lazy to do anything about it.

We gave up the high ground to the enemy and that is a fact.

WE DID NOT OCCUPY TILL HE RETURNED and now we have made our bed and must sleep in it.

My earnest hope is that many of you that took the time to read this information won’t just let all this fall by the wayside.

It is time to get right with the Lord and rededicate ourselves to serving Him again. It is time for the Servant Warrior to stand again and be the true salt and light to the world.

If you are not a Christian, you need to repent of your sins and submit your life to our Lord Jesus Christ.

Here is what God’s Word says…

John 3:16  For God so loved the world, that he gave his only begotten Son, that whosoever believeth in him should not perish, but have everlasting life.

Romans 3:23  For all have sinned, and come short of the glory of God;

Act 3:19 Repent ye therefore, and be converted, that your sins may be blotted out, when the times of refreshing shall come from the presence of the Lord;

Romans 6:23 For the wages of sin is death; but the gift of God is eternal life through Jesus Christ our Lord.

1John 1:9 If we confess our sins, he is faithful and just to forgive us our sins, and to cleanse us from all unrighteousness.

I would encourage you to not delay in receiving Christ as you Savior today if you have not already done so. He died for your sins, and rose from the dead. He offers you eternal life, but that’s your choice to make. I hope you will consider doing that today.

If you are a Christian, but have fallen away from the Lord, come back to Him. Our Heavenly Father is a good and loving Father. Just ask and commune with Him. You see, He never left your side, we just left Him. Reach out and renew your relationship with Jesus Christ our Savior today.

By Ray Gano


About the Author:

Ray & Tracye Gano are the Executive Directors of Prophezine. Prophezine deals with Bible Prophecy and World Events and Preparedness. They currently serve close to 70,000 (and growing) people worldwide with a weekly newsletter, daily news updates internet radio show and community based website. Please visit Prophezine by going to



1- Adapted from Robert Kiyosaki’s book “Rich Dad’s Prophecy”

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3 – Black’s Law Dictionary [Sixth Edition, 1991]

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