Although the economic situation is poor, this does not mean you have to put up with an abusive boss or a boss who's taking advantage of the economic downturn to exploit his employees.

Managing you Boss

The first option of course, if you can't stand your boss, is to find another job. However, it might not be that easy nowadays, and changing jobs doesn't guarantee you will get a better job, but if you are willing to go for it, it is a personal decision to make. Beware, however, that if you change jobs frequently, a red flag will be raised in the minds of any future employers. They might think you are incapable of making a commitment or that you are an atrocious worker who got fired several times.
One way of managing your boss without quitting your job is to complain about your boss on a tactful way to his boss. The first thing to do is to document your boss's behavior for a certain period of time. List down the day, time and description of the event. Sexual harassment, discrimination, asking employees to break company policy, threatening or abusive behavior, and alcohol abuse are all inappropriate behavior.

When you have enough evidence, approach human resources, your boss's boss or anyone above him. Make your complaint but retain a professional composure, do not start making accusations or you will sound petty. Present your evidence. Ask that your identity remain confidential.

After this, you can be assured that your boss will be watched closely and that he may even be given feedback based on your complaint.