The information technology industry as we know it did not exist during the Great Depression, but certain elements were in place, at least in the larval stage. I'm not saying we're headed for a depression, but clearly times are very not good, and maybe a look back can be helpful as we look ahead.

One of the most dramatic stories concerns IBM. CEO Thomas Watson Sr., faced with the crippling downturn, decided to "keep the factories building machines and parts, stockpiling the products in warehouses. In fact, between 1929 and 1932, he increased IBM's production capacity by one-third."

From Kevin Maney's "The Maverick and His Machine: Thomas Watson Sr. and the Making of IBM."

On Jan. 12, 1932, during the worst of the Depression, Watson announced that IBM would spend $1 million -- nearly 6% of IBM's total annual revenue -- to build one of the first corporate research labs...

...Within a few years, Watson's gamble on manufacturing and research looked disastrous. Revenue from 1929 to 1934 stalled. IBM edged toward insolvency. In 1932, IBM's stock price fell to 1921 levels and stayed there -- eleven years of gains wiped out...

...By 1934, Watson needed a miracle.

...On Aug. 14, 1935, (President Franklin) Roosevelt signed the Social Security Act...Overnight, demand for accounting machines soared...

Only one company could meet the demand: IBM.

AT&T, meanwhile, maintained its stock dividend, even as the stock price got hammered and layoffs spread across the company. Technology and infrastructure continued to advance through the Depression years.

FDR's rural electrification program, later expanded to include telephone service, was another government effort that helped lay the foundation for an information economy.