“The sky’s falling…” 

That’s seems to be all we hear and see these days. 

The stock market’s down, age-old banks and insurance companies are dropping like flies, our retirement accounts are being decimated, we’re piling up so much debt that our grandchildrens’ grandchildren will still be paying it back, and on and on…

But did you know that many millionaires were made during the Great Depression of the early 30’s?  Most of these were the result of having plenty of liquid cash to invest in undervalued assets.  That’s the absolute best way to profit from hard times.  When times are tough, cash is king.  Because so many are already deep in debt or simply can’t borrow enough to keep afloat, those with cash to spend will find real bargains.

But what if you fall somewhere on the other side?  What if you’re in debt, barely paying the bills each month, or out of work?  How can you possibly find a silver lining to the dark cloud of the current economic environment?

What I would suggest is that you first stop thinking of the current situation as “bad” or “hopeless.”  I’ve heard these terms used a lot lately by friends and family, and thinking like this will only make things worse. 

Instead, try to think like an entrepreneur…

People still have money, and they’re still spending it.  I promise you this will not change.  Even if we were to enter a period far worse than the Great Depression (and this isn’t likely), people would still be spending money.  Granted, the items they buy might change, but the money will be flowing somewhere.  So you really just have to keep an eye on where the money is going and try to get in on the action.

One thing to watch for is mass panic. 

Gas stations are running out of fuel because of panic, banks have lost a lot of capital due to panic, retirement accounts are being depleted because of panic, and the list goes on.  The global economic system is based, in large part, on the perception of the masses.  When everyone feels good about things, they invest and spend.  When they don’t feel so good, they save and pay down debts.  And when they get really scared, they cash out their retirement accounts and stuff cash under their mattresses.  They’ll even start to sell off assets just to have cash on hand.

The media plays a huge role in this these days.  So watch the news.  When the news reporter says that it’s time to panic, get ready to buy assets at rock-bottom prices.  And when the President says this himself, you can bet that the wealthy are laughing all the way to the bank.

Just as businesses everywhere are “going green” to make a buck off of the new environmental movement, you can profit from the panic that results during tough economic conditions.  You can make money just by offering encouragement to those going through difficulties.  They’ll pay you to offer them hope in their darkest hour.  You can make even more by lighting a fire under them and pointing them toward the exit.  Show people how to make extra money in these “tough times” and they’ll invest in what you have to offer.

And here are a few ideas for you to profit online:

Offer free advice on weathering the tough economy. 

Provide tools for calculating debt repayment. 

Include links to affiliate programs geared to debt reduction. 

Include articles on investing in gold and other precious metals and place Google ads on the page for a little extra income.

Include articles on positive thinking, and run ads.  Or give away an encouraging ebook in exchange for an email address.  Then follow up with more encouragement with an occassional promotion for a niche-appropriate product or service.

There are many, many ways to profit even in the worst of times.  As long as you keep your head - even if you’re struggling financially yourself, you can make it through.  And with the right approach, you will actually end up in a better position on the other side as a result.