Get in Survival Mode for Looming Recession

Federal Reserve Chairman Ben Bernanke has warned Congress about a recession if the government doesn't intervene. But what's in a name? The economy keeps shedding jobs, the credit markets are seizing up and the stock market keeps heading south despite brief, half-hearted rallies. Even if we haven't had two consecutive quarters of contracting GDP -- the definition of a recession -- the economy is acting like it's in a recession. Here are a few things you can do to make it through to the other side.

Don't panic

That is easier said than done when the Dow dropped 777 points on Monday, and the S&P 500 is down about 20% since the start of the year. But as bad as things might look right now, the economy typically recovers from such deep declines. Unless you need investment money to cover short-term expenses like medical bills or mortgage payments, your best bet is to ride out the downturn. Try turning off the scrolling stock ticker on your homepage and tune out the background noise. When you are investing for the long term, short-term ups and downs can only cause you stress. ...