What can you do in times like this? Run away and hide? You could - but I think I might have a better solution. If you have been out of work for a long time and don't really know where to turn, the best thing to do is to keep a positive attitude. Another great thing is try to apply for new jobs every singe day - even on the weekends. This will help you make sure you don't miss out on any opportunities that could be out there. If you really want to wow future employers you may also want to consider doing some volunteer work with all of your free time.
Volunteer work will help you keep structure in your life, while at the same time giving you better self esteem and more self worth. Since you are helping out people in need all over your community, you will also get a ton of new contacts and develop little networks. The experience can be put on your resume - which is much better than empty space and when you get that great interview if it is down to 2 candidates (you being one of them), the experience might boost you past the other guy. Check out HelpIndy to get some great volunteer ideas and contacts so you can get started to a better, brighter, you.