I agree with the previous poster. Knit what you want.
I like to knit things and donate them. Three places that are always looking for donations for kids:
You're local homeless shelter.
You're local Battered Women's agencys.
And the police station. When they pull kids out of homes (neglect, drug, domestic violence situations), they always would love to give the children something cuddly, homemade, etc. The kids have something warm to clutch, and they aren't as scared. If they pull a kid out with a mom, the parent is always grateful to have something warm and comforting for their child.