The downturn in the economy of the author's state, North Carolina, so far is less severe than that of much of the rest of the nation, due to their diversified economy, financial discipline, constitutional mandate for a balanced budget, "rainy day" fund, and many years of consistent investment in higher education. In the University of North Carolina system, they have learned how to manage for the good times, the bad times, and the truly unimaginable. In this article, the author shares some steps taken by her university to respond to these tough times. The author mentions that in difficult economic times, a strategic plan can help a campus identify those undertakings that are less central, and therefore less eligible for continued investment. She stresses that communication is crucial to making the best decisions during such times, as well as avoiding any unintentional use of the "panic button."