Here in Germany, I don't have a dryer. I don't know anyone here who does have a dryer (though I do know at least one person who goes to the laundromat, where they do have dryers). In fact, the only person I know with a dryer is Hannes' mom, and though I'm sure she's not the only one, I think it's fair to say that she's in the minority.
I guess it's a question of space and money and what's normal. As I mentioned this before on this blog, a German teacher of mine told me that if I wanted a clothes dryer, I might as well take everything to the dry cleaner for how much the electricity would cost. This MUST be an exaggeration, but if I continue to live in Germany, getting a dryer will surely be a sign that I've made it and that I have disposable income to spare.
Hanging all my laundry? It's not so bad! I reduce my carbon footprint and my electricity bill. But let me tell you about the drawbacks. First, most clothes end up far more wrinkly (and stay that way, since I mostly refuse to iron). You know how if you have a button-up shirt and you take it right from the dryer and put in on a hangar, you probably don't have to iron it? Never works here. Also, clothes drying takes up a lot of space - our whole guest room on days when I do multiple loads. And of course, things take a whole day to dry. Which means if you want to wear something tomorrow morning, you better have thought of it yesterday, since most items won't dry completely overnight. Maybe it's a secret German plot to get people to plan ahead, something the Germans are way better at than the Americans, in my experience.