Downsizing doesn't necessarily mean that you have to move out of your home. Of course, it is now the buzzword meaning that you are editing your belongings and moving to a smaller space. But it can also mean that you are looking at what you have, determining what you need and making adjustments--furnishings, activities, bills, clothing, etc.
With the state of the economy and unemployment touching so many of us, it has become even more important to reevaluate how we live. From foregoing a traditional vacation for a "staycation," to buying more store brand items, to recycling used items rather than buying new (via sites like E-bay and Craig's List), more of us are trying to find creative ways to be more frugal.
Maybe we need to get back to the ways of our ancestors, growing our own food, making our own clothes and bartering. Sometimes I think that things have become too complicated. Don't get me wrong. I love my computer and microwave, but I do believe there could be a better balance by living a little more simply with today's technological comforts.
Check out this site for 100 creative ways to downsize: