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A growing number of Americans are bracing for the worst.

A 2026 survey by YouGov found 42% of Americans believe the country will experience a "total economic collapse" within the next decade, while more than a third think a civil war is likely (1).

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That level of pessimism reflects a broader sense that multiple risks — economic, political and technological — are converging.

But what would a "total economic collapse" actually look like?

The closest historical comparison is the Great Depression. During the 1930s, U.S. unemployment approached 25%, the stock market lost nearly 90% of its value and it took decades to recover fully (2, 3).

While today's economy is far more resilient, the fear of a severe downturn is not entirely unfounded.

A combination of overlapping threats has led to increased anxiety among Americans, with one of the biggest being the growing federal debt.

According to the Committee for a Responsible Federal Budget, U.S. debt has reached about 100% of GDP, with deficits and interest costs continuing to rise. The group warns that without policy changes, "some form of crisis is almost inevitable" (4).

A fiscal crisis could take many forms: a financial market shock, a surge in inflation, a weakening dollar or even a gradual erosion of living standards over time.

At the same time, some economists see deeper systemic risks building.

Financial risk expert Richard Bookstaber warned in The New York Times that the next downturn could be even more severe than the 2008 financial crisis (5).

His concern is that today's financial system is tightly interconnected, linking markets, artificial intelligence (AI), supply chains and geopolitics. That means a shock in one area — such as conflict involving Iran or tensions around Taiwan — could spread quickly across the entire economy.

Clearly, energy markets have shown signs of strain in recent months. Disruptions in the Strait of Hormuz, which handles about 20% of global energy trade, have pushed oil prices higher, raising concerns about inflation and the risk of a recession (6).

Meanwhile, the rapid rise of artificial intelligence is adding another layer of uncertainty.

For instance, Citrini Research outlined a hypothetical scenario in which AI-driven job losses trigger a negative economic spiral — reducing wages, weakening consumer spending and ultimately destabilizing financial markets (7).

While that scenario is speculative, it reflects a growing concern that technological change could reshape the economy faster than workers and institutions can adapt.

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While the fear of a "total economic collapse" may sound extreme, it reflects a real shift in public sentiment.

Americans are grappling with a long list of economic worries:

Long-term pressure of rising debt

Near-term volatility tied to elections, inflation and global conflict

Uncertainty of how AI will affect jobs, wages and growth

It is a lot to take in.

Case in point: Inflation surged to 4.2% in May — the highest level in three years — primarily due to the war in the Middle East (8). However, in the wake of the peace deal between the U.S. and Iran, speculators say inflation should start to cool (9).

So while Americans remain anxious about the economy, there's been a modest improvement in confidence. The University of Michigan's June Consumer Sentiment Index rose from May's historic low, though concerns about high living costs continued to dominate responses and inflation expectations remained elevated (10).

Ultimately, no one can say for certain whether all these risks will lead to a crisis — or how severe it might be. But being financially prepared for uncertainty is often far more productive than trying to forecast the next crisis.

Here are some general recommendations.

Building an emergency fund can give you breathing room when life throws a curveball.

Financial experts often suggest setting aside enough to cover three to six months of essential expenses — and keeping that cash somewhere you can access quickly if needed — so an unexpected bill or loss of income doesn't send you back into debt.

A high-yield account like a Wealthfront Cash Account can be a great place to grow your uninvested cash, offering both competitive interest rates and easy access to your money when you need it.

A Wealthfront Cash Account currently offers a base APY of 3.30% through program banks and new clients can get an extra 0.75% boost during their first three months on up to $150,000 for a total variable APY of 4.05%.

That's 10 times the national deposit savings rate, according to the FDIC's June report (11).

Additionally, Wealthfront is offering new clients who enable direct deposit ($1,000/monthly minimum) to their Cash Account and open and fund a new investment account an additional 0.25% APY increase with no expiration date or balance limit, meaning your APY could be as high as 4.30%.

With no minimum balances or account fees, as well as 24/7 withdrawals and free domestic wire transfers, your funds remain accessible at all times. Plus, you get access to up to $8 million FDIC Insurance eligibility through program banks.

Credit card debt and other high-interest loans should be among the first things you tackle — especially since they can become increasingly difficult to manage during downturns.

If you're juggling multiple debts, consolidating them into a single personal loan could help simplify things. Ideally, you'd lock in a lower interest rate, reduce your total interest costs and replace several payments with one predictable monthly bill.

Platforms like Credible help streamline this process by allowing borrowers to compare personal loan offers from multiple lenders in one place, making it easier to identify lower-rate options without applying to each lender individually.

Through Credible's online marketplace, the process of finding the right loan becomes much simpler. Credible lets you comparison-shop for the lowest interest rates with just a few clicks.

In less than three minutes, you'll see all the lenders willing to help pay off your credit cards or other debts with a single personal loan.

Diversification is one of the most widely recommended strategies by experts — and it tends to shine during periods of economic uncertainty. Spreading your investments across different sectors and asset classes can help you avoid being too exposed to any single trend.

In simple terms, don't put all your eggs in one basket.

A good starting point is investing in assets less tied to stock market swings and offering some protection against inflation.

Take gold, for example.

The precious metal tends to hold its value during turbulent times, often moving independently of stock prices. Over the past year, gold's reputation as a safe-haven asset has held up amid geopolitical uncertainty, with prices climbing more than 20% in the past 12 months, as of early July (12).

One way to invest in gold that also offers significant tax advantages is to open a gold IRA with Priority Gold's help.

Gold IRAs allow investors to hold physical gold or gold-related assets within a retirement account, making them an attractive option for those looking to potentially hedge their retirement funds against economic uncertainty.

Plus, if you'd like to convert an existing IRA into a gold IRA, Priority Gold offers a 100% free rollover, as well as free shipping and storage for up to 5 years.

To learn more, you can get a free information guide that includes details on how to get up to $10,000 in free silver on qualifying purchases.

Real estate can also act as a natural hedge when inflation heats up.

As inflation pushes up the cost of materials, labor and land, property values often follow suit. Rent prices also tend to rise in response, giving property owners a potential income stream that keeps pace with higher living costs.

Plus, no matter what's happening in the economy, people need a roof over their heads — which helps keep demand for real estate relatively steady over time.

Mogul is a platform that might be an option for those looking to invest in this inflation-heading asset class.

Founded by former Goldman Sachs real estate investors, the team handpicks the top 1% of single-family rental homes nationwide for you.

Mogul's team carefully vets each property, requiring a minimum 12% return even in downside scenarios. Across the board, the platform features an average yearly return of 18.8%. Their cash-on-cash yields, meanwhile, average between 10% and 12% annually. With investments typically ranging between $15,000 and $40,000 per property, offerings often sell out in under three hours.

Getting started is a quick and easy process. You can sign up for an account and then browse available properties. Once you verify your information with their team, you can invest like a mogul in just a few clicks.

— With files from Monique Danao and Aditi Ganguly.

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We rely only on vetted sources and credible third-party reporting. For details, see our editorial ethics and guidelines.

YouGov (1); Franklin D. Roosevelt Library & Museum (2); Goldman Sachs (3); Committee for a Responsible Federal Budget (4); The New York Times (5); BBC (6); Citrini Research (7); Trading Economics (8); CNBC (9); Reuters (10); FDIC (11); APMEX (12)

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.