Hi Turtle1,
Your topic title immediately grabbed my attention today as I am going through the same thing and can totally empathise with you! What I would like to tell you is don't take it personally. I am about to turn 45, I gave up a job I really enjoyed just before Christmas because the boss was a self-absorbed bully and I couldn't work with him anymore (small business - his - so there was nowhere to hide).
This is how I stay sane through the process:-
1. Whatever way you look at it, it is an employer's market. This is the reality. Employers get to pick and choose because so many people are looking for jobs. This is not your fault. I had an experience last year where the employer asked me to 3 separate interviews in the same week & checked my references (which were all good) when I was down to being 1 of 2 candidates left. I didn't get the job and ended up feeling exhausted.
2. It's a numbers game. The more applications you get out there, the greater the chance is that one day, you will catch someone's interest and they will call you in for interview.
3. The best way you can be a role model for your children is to stay positive, persevere and do not give up the fight. Show them how resilient you are ! (I have a teenage daughter and I sometimes worry about being a good role model for her too. )
4. Look after yourself. I know money is probably tight but try to do little things that make you feel good about yourself, like getting a new haircut, a manicure or buying a new outfit for when you do get that interview.
5.Keep tailoring your application to each job. When you have to apply for so many jobs it's easy to just rely on a standard letter, but I think it's important to try to personalise each application and keep on trying to improve your cover letters & resume. Don't forget to boast about your personal characteristics (ie. honesty, quick learner, enthusiastic enthusiastic etc). Employers are often look for a 'personality or cultural fit' these days over lots of skills/experience. Get their attention with some descriptive words.
Mary's suggestions are great too. Look at doing some short TAFE courses and/or volunteering. Don't give any indication of your depression/anxiety to employers. I have made this mistake. There is no way to tell if people will have sympathy or be put off. But having these issues does not make you any less human. Some of the world's biggest achievers have had these issues too!
Good luck!
Juls.