I am not too sure about the answer to the first question regarding what has caused this turn of events. I have heard the theories and explanations being put forward by the media and the “experts” on economic issues around the world. The more I hear the more it sounds like I am listening to a parrot repeating what it has heard someone else say. The messages seem to make sense at first glance. But a deeper analysis seems to raise more questions than answers and, for me, the one thing that seems to be clear is “no one can really explain what is going on convincingly.”

But though the real cause remains elusive for the most part the effects are real. So how do you protect yourself and perhaps even prosper in this harsh environment? Let’s look to a similar event that happened some seventy years ago or so – The Great Depression.

The Great Depression of the 1930s is said to have started with a stock market crash in the United States on the now infamous “Black Tuesday” and had worldwide catastrophic effects. Its effects included plunging international trade down by two-thirds and reductions in personal income, tax revenues and profits. Many sectors of the world’s economy, from farming to mining, were affected. It lasted roughly a decade, most of which was the recovery phase after the initial quick downturn. It drastically changed the political landscape the world over.

But even in those harsh times there were some success stories of people and companies that not only survived the depression, but also grew and became more prosperous through it. As you analyse these companies and individuals you can see the following ways to survive an economic crash:

Recognise and build on your most valuable asset. What is the one asset that never loses value and has the potential to make you prosper no matter what the economic climate? Your mind. If you develop your mind to be receptive to new ideas and to seek out opportunities in your everyday circumstances you are more likely to make it. With the right mindset and mental conditioning you can always find a way. The fact remains that even in bad times many people still continue to prosper.  But it takes time to develop a prosperity mindset, hence the importance of continuous reading and personal development.                    

See how you can be of service. During the great depression everyone was out looking for a job in the United States and companies got so fed up of these job hunting calls they simply put signs on their premises indicating that there were no jobs to stop people from knocking. Earl Nightingale tells the story of one man who, rather than going out to look for a job, went out to see how he could help. He put together a proposal for a company detailing how the company could survive and flourish in those times. He was hired immediately. Everyone is looking for answers and help during such harsh conditions. How can you be of service to them?

Diversify your business. Yuengling is one of America’s oldest beer makers and it survived the depression by diversifying into dairy farming, Broadway shows, and dance halls instead of shutting down or selling out. If your business sector is adversely affected by the economic slump perhaps you should be looking at providing goods and services that fulfil the current demand as a survival strategy.

You don’t have a business? Well, you seriously must think of starting one, no matter how small. As an individual you also need to diversify your risk. One of the best ways to do this is by not having to depend on your job only. Start a small business and learn from it. Don’t invest all your assets into it right from the start, rather build it up slowly. I always think that people that run their own businesses are more flexible and adaptable to economic change. Risk taking, flexibility and seeking out opportunities are, after all, characteristics of any good entrepreneur.

Be innovative. Proctor and Gamble was a consumer goods company, but during the Great Depression they went into making soap operas for television. The name “soap opera” actually came about because of them. You see, they sponsored a show called “Oxydol’s Own Ma Perkins” in order to promote and boost sales of the soap they manufactured. It was so successful a tactic that by the end of the depression they had their own production house churning out soap operas.  

Trust in and seek divine guidance. Economic depressions are nothing new and in Biblical times we have examples of many such events. They may not have been called depressions or recessions, but they were nonetheless. The greatest of these events, which from the description I would think was even more devastating than what is happening now, can be found in the story of Joseph in Egypt.

Pharaoh’s divinely inspired dream of seven years of plenty, followed by seven years of famine, as interpreted by Joseph to him, is what saved the nation of Egypt and ultimately Israel from that terrible famine. But the series of events that led to this miracle cannot be put down to chance. From Joseph’s selling into slavery by his brothers to his ability to interpret dreams, it is clear that a divine hand was guiding him towards that very purpose.

His brothers, who had sold him into slavery, were ultimately saved by him during that depression, which was so bad that people sold all they had and made themselves servants just to have food.

The point here is that there is only so much that we can know and do as human beings. Ultimately we have to trust in God because he knows everything and he can guide our steps, though we may not know at the time where it is all leading us. So do all that you can possibly do, but remember to thank God and ask for his help because “it is better to trust in the Lord than to put confidence in man.”

That is, perhaps, the greatest lesson we need to learn because it is clear from current events that our human way of doing things, our economic theories and financial systems are not to be fully trusted. That is why I am happy that Prayer Link International organised a three day Business Summit entitled “Empowering for Business” from the 12-14^th March 2009 at Hotel Intercontinental.   It offered a paradigm shift, focusing on the Bible as supreme authority and source of answers for any economy you may find yourself in. It was an enlightening experience.