Of course the adult industry is doing well, why would it not. But honestly, why do you not have any other outside legitimate businesses??? Is the only thing you know how to do is exploit she-he's and make them crush lemons and grapefruit in high heels???
Generally, when times are tight, the first things many people get rid of are the luxuries...like paysite memberships, webcam time, muscle worship sessions, etc.
Thankfully, even though many customers are spending less, we've managed to draw in more customers and actually increased revenues in 2009 (over '08).
Regarding the legitimacy of my businesses, each is registered to do business in California and we pay a tremendous amount of taxes each year. Additionally, we donate significantly to the Red Cross as well as to local non-profits. Although 99.9% of our income is generated via the internet, I choose to buy as much as possible from local merchants.
Workwise, I don't do anything that does not involve consenting adults.