"The only way out of a debt crisis is to deal with your debts," the PM will say as he insists the government must stick with its economic policy.
While acknowledging an "anxious time" for many people, he will say Britain is not doomed to "certain decline".
Calling for greater optimism, he will say: "We can turn this ship around."
Mr Cameron will attempt to lift spirits at the end of a conference overshadowed by the ongoing crisis in the eurozone and demands to slow down on deficit reduction.
The prime minister has described it as a "moment of danger" for the British economy, arguing that "urgent action" is needed to stabilise the euro area then deal with growth at home.
But he also knows the government will be in real trouble if it cannot convince voters that the pain they are going through - with squeezed incomes, rising prices and job losses - will be worth it in the end.
"Slowly, but surely, we're laying the foundations for a better future. But this is the crucial point: it will only work if we stick with it," he will say.
Mr Cameron will use his big end-of-conference address to warn against becoming "paralysed by gloom and fear".
'Spirit of Britain' He will acknowledge that people want to know why "the good times are so long coming" after recession prompted by the financial crisis of 2008.
"The answer is straightforward but uncomfortable," he will say.
"This was no normal recession; we're in a debt crisis. It was caused by too much borrowing, by individuals, businesses, banks and - most of all - governments.
"The only way out of a debt crisis is to deal with your debts. That means households - all of us - paying off the credit card and store card bills."
Mr Cameron will claim the government is giving strong leadership and he will hit back at claims the country is "on the path of certain decline".
"I am here to tell you that is not true. If we correct the mistakes and take on the vested interests of the past, I know we can turn this ship around," he will say.
The prime minister will talk of the "spirit of Britain", adding: "Some say that to succeed... we need to become more like India, China or Brazil. I say we need to become more like us. The real us."
He will talk up Britain as a hard-working, creative and optimistic country with a "can-do" attitude.
'Recession fears' The BBC's Political Editor Nick Robinson said Mr Cameron's language would try to evoke a "wartime spirit" but that "words here in Manchester matter so much less than events in the eurozone".
This week, France and Belgium have guaranteed the debts of the Dexia bank, while finance ministers sent shares crashing by delaying a decision on giving Greece its next bailout instalment and Italy's perceived creditworthiness was slashed by ratings agency Moody.
"This is precisely the news some ministers had feared for so long in private. I'm talking to some senior ministers who say they don't think the eurozone can survive in its present form," said our editor.
"Some are even talking about the possibility - if that happens - of a double dip recession in the UK," he added.
The conference speech comes as a new opinion poll suggests most voters are not impressed by Mr Cameron's handling of the economy.
According to the ComRes survey for ITV News, 54% rated Mr Cameron's leadership on economic matters "fairly or very poor" and 57% said the same of his efforts to manage the eurozone crisis to the UK's advantage.
The prime minister did, however, receive positive reviews for his ability to appear statesmanlike, 51% saying he did that "fairly or very well", and for his response to the riots (50%).
ComRes interviewed 2,047 adults online between 30 September 30 and 2 October and data was weighted to be demographically representative of all adults.
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