Surviving the storm: the economy may be stagnant, but to overcome it, you can't be.

TOWARD THE END OF 2007, JACQUELINE JACKSON, A realtor in Orland Park, Illinois, was struck by how much her business had taken a tumble. She had sold more than $3 million in property the year before, but she says, "One day I woke up and I realized I hadn't had a closing in a year." Grim projections for the ailing real estate industry only added to the uncertainty Jackson felt about her ability to maintain her business and standard of living.

It's difficult to find anyone who doesn't have some feelings of anxiety due to the uncertain economy. Whether it's small business owners slicing their own paychecks to keep their companies afloat or employees adjusting to salary cuts as they worry about losing their jobs, many Americans are struggling to stay positive amid a pending sense of doom. And the current recession may seem worse than other times because" its impact has been felt by people all over the world from every walk of life," says Dr. Gloria Morrow, a licensed clinical psychologist in Upland, California. "In the past, if you were forced to deal with a shortage of income or were having a little trouble paying your bills, there was the hope that things would get better quickly. Now that the media is constantly reminding us about a continually down-spiraling economy, I think some people are panicking."

With it being anyone's guess how long it will take the economy to recover, the uncertainty that has been building since the downturn started cannot be eliminated with a quick fix. Experts predict the overall feeling of doubtfulness will remain long after the recession reverses. So the best thing for people to do is learn to function in this new reality and channel their anxiety into actions that will minimize the effects of the downturn on their personal lives.

Here are some ways to take charge in the midst of uncertainty:

Look for new income streams. Rather than worrying about whether you'll get laid off, look for ways to turn a hobby into income or make some extra money on the side. That way you'll cushion the blow if the worst case scenario does happen and you lose your job. "You want to have something that you can do right now as a second source of income or something you can create for yourself to help sustain your family in the case of that pink slip," says Kimberly Seals-Allers, author of The Mocha Manual to Turning Your Passion into Profit: How to Find Your Side Hustle in ANY Economy (Amistad; $14.99).

Make the downturn work for you. If you're an entrepreneur, take advantage of the fact that there is a lot of great talent that is currently unemployed and may be willing to work for you at a discounted price, suggests Seals-Allers. Also, cut down on professional and personal costs by negotiating your services, product, or expertise as payment. "People are open to other forms of currency so try bartering for services," Seals-Allers says.

Consider new career options. If you're in an industry that has little hope of rebounding soon, rather than lamenting the fact that you're in a dead-end job, start exploring new professions that you're interested in and have the skills to transition into. Maybe you'll need to take a class or attend networking functions, but the key is to take steps toward something of interest. Seals-Allers says if you've been laid off, "it can be a great time to push that reset button." And that's exactly what Jackson did.

Jackson responded to the recession by removing her focus from real estate and buying a Kilwin's Chocolate and Ice Cream franchise. "No matter how bad the economy is, people still indulge in chocolate and ice cream because they're comfort foods," says the 44-year-old. After qualifying for a business loan and spending about $125,000 of her own money to cover the approximately $300,000 investment, Jackson opened her franchise in June 2008 and made a little more than $100,000 in the first three months.

"There have been a few times when I had a pity party, when I didn't have any customers," she says. "But one day I woke up and said, 'I'm not buying into this. I've got to fight because I have so much invested and I'm not going to let a recession beat me.'"

4 WAYS TO REFOCUS THE FEAR

Even if you have a solid plan to get through the downturn, it's easy to become overwhelmed or fearful of what may be around the corner. Here are some action steps to help get your mind out of the recession rut:

1 Change perspective. For every negative statistic, there's a more positive way to look at it. For example, an 8.9% unemployment rate sounds scary; however, focus instead on the fact that 91.1% of Americans are working. There are also lessons to be learned such as how to live on a budget and how to depend less on credit. Morrow adds, "Maybe it's simply saying, 'During this season, I'm going to learn some valuable lessons and apply them so that I don't have to be in this place again.'"

2 Be inspired. Whenever Jackson felt discouraged, she read, The Prosperity Bible (Tarcher; $35), a collection of stories about how people have achieved financial success. Peruse the self-help and history sections of your local bookstore to find other titles about people who have achieved great things despite great challenges. Morrow reminds us that economic downturns are cyclical. She adds, "What we're going through right now will not last forever."

3 Get active. One of the best ways to combat stress is to exercise because it stimulates the release of endorphins, chemicals in the brain that relieve pain. "If people are beginning to feel low in spirit, exercise is a great strategy because it doesn't have to cost anything," Morrow says.

4 Seek support. If everyone around you is complaining about how bad things are, it will be harder for you to maintain a positive mood. Seek out optimistic people who leave you feeling hopeful about the future or those willing to overcome their situation rather than wallow in it.

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