I like to knit, especially small cute items for little kids that can be finished in my lifetime---the hardest part is always deciphering the direction codes in the knitting patterns....in such cases, a knitting guru (thanks Deb!) or the internet comes in handy. The pattern for the hats above can be found here.
Here are some more adorable patterns I'd like to try from Morehouse Farm (that are also sold as kits).
pagoda hat (imagine this in lots of crazy colors)
add an iceberg hat!