yes, i feel sorry for those people who circumstances suddenly change (unemployment, illness, etc).
Generally, most people should just ignore all the credit crunch alarmist media, and just carry on doing what they were, just tightening their belts a bit, and the storm will pass in a couple of years.
If you have the money in the bank, now is probably a good time to be looking to buy cars, household goods, etc... as you can probably get good discounts.