Grace Byrd uses a visual aid to explain the change in consumer attitudes since the onset of the recession.

"This is the '80s," she explained as she walked over to a rack of multicolored ethnic earrings, picked up several pairs, and without even glancing at the prices, proclaimed, "I'll take these!"

"And this," she continued, "is the '90s." She walked back to the same rack of earrings, picked up a small pair, checked the price and then scrutinized them before placing them back on the rack.

While some might think that State College is insulated from the recession's effects, some business owners who recently opened shop in the area don't necessarily agree, despite the fact that most of them have not exactly been devastated by the economic slump.

Byrd owns The Culture Connection, 113 E. Beaver Ave., which sells jewelry from around the world, showcases local artists' works and repairs costume jewelry.

Since she opened last August, Byrd has noticed "this is not a good time. Money is funny. Money is real funny.

"Excesses are over. People are not buying because they want to, they buy because they need to," Byrd continued as she greeted the customers who wandered in and out of the store browsing and sometimes -- but not often -- buying.

Farther down Beaver Avenue, The Daily Grind has been serving hot gourmet beverages since last July. The coffee shop, located at 107 E. Beaver Ave., offers pastries and drinks ranging from everyday coffee to ultra-trendy espresso to gourmet concoctions with names like Caffe Mocha Menta.

Store owner Debbie Molin said The Daily Grind's opening was planned to coincide with the Arts Festival, which she called "the event of the summer."

Since its opening, the store has not suffered adverse effects due to the recession and has built up a regular clientele, Molin said.

"The store has been becoming increasingly more busy -- people are taking more time out of their day to relax," she added.

Next door, the owners of Tadpole Crossing, 101 E. Beaver Ave., are hoping people have become more concerned about the environment. The store offers a variety of environmentally themed jewelry, clothes, toys and posters, among other items.

Like The Daily Grind, Tadpole Crossing opened last July to reap the financial benefits of the Arts Festival, said co-owner Cathy Schaffer. The store's location was also instrumental in convincing Schaffer and her partners to open during an economic slump, she added.

"Location is everything," Schaffer said. "If you take this store and move it up three blocks, what do you have?"

Schaffer and other store owners said they rely on the constant traffic from students and other downtown shoppers to keep their businesses afloat.

One common facet of these three very different businesses that has allowed them to survive in these economically troubled times is the uniqueness of the services they provide.

Byrd, for example, said that when she was considering what kind of business to open, she looked for "holes in the system -- things that other businesses in the area did not offer."

The owners agreed that location and diversity of services should be a big consideration for anyone interested in opening businesses, but also advised potential entrepreneurs to try to get as much experience as possible before going out on a limb.

Molin suggested that potential business owners work for other people first to get a better idea of what it takes to run a successful business.

"(People should) get experience on someone else's time," she advised.

Although the owners admitted that business last year wasn't exactly colossal, they remain optimistic on the futures of their respective stores.

"As long as you can eat," said Byrd, "you're doing all right."