Ooh this has always been my problem! Where I live it's a bit difficult to find good yarns. Most there would be limited choices and price a little over my college student budget lol so my stash is basically full of one or two odd balls of yarn.
I make a lot of cozies (I think any little electronic device in my home gets one lol-cellphone, my Creative Zen, MP3 players, CD players, flashdiscs, you name it... hmm probably I should make one for flashlights and computer mouses too lol), cute toys (oh I LOVE toys!), arm warmers, eye mask (trouble sleeping in even the slightest light), small purses (coin purses, make up, pencil case, glasses case, etc), and belts.
I think stripes is a good idea. VERY good idea.
Oh and I'm planning on knitting a book cover. I love making my own journals and blank books, so... I think it'd make an interesting cover
How about coasters? Bath puffs? Felted bowl? Jewelry? Mouse pillow thingy (thought I saw a pattern somewhere...)?
Even maybe a little pillow for sleeping in (boring) classes? lol I feel like I'm going to receive evil looks from some teachers here