Basement: Difficult windows are lengthened with floor to ceiling drapes and excellent placement of artwork.
Dans le Townhouse: DIY Window Covering for Awkward Windows
Interior design cheat sheet :) Excellent site for general rule of thumbs on curtains, rugs, table sizes, etc. - I always try to hang curtains this way to make windows look bigger!
basement bedroom shades on windows - full length curtains add height and soften the space