I have thoroughly enjoyed reading everyone's take on this. Makrame, that poster made me snort out loud.
We absolutely have hipsters in Vancouver. It has reached epidemic proportions in places like Gastown and Commercial Drive. I'm nodding along to Krista's thorough description, although by now there's quite a range in what hipsters wear. It has evolved. The key words are still "irony" and "retro", though. Hipsters are more likely to wear hats than anyone else. Both men and women often roll up their skinny jeans. For men, the big bushy beard has burst onto the scene as the "new accessory". The women are more likely to wear A-line skirts (often somewhat retro design) than the rest of the population, although they are equally likely to be wearing skinny jeans, cool shoes and an artfully draped scarf. They tend not to have ridiculous hair or makeup, but often have flattering and slightly edgy hairstyles.
Although being labeled a hipster is not necessarily a compliment (in fact it's often not, because it can suggest a preoccupation with the self that is off-putting), I will say this: they usually look good. They have style.
Also, there are many more people whom you wouldn't exactly call hipsters, but who sport elements of the look. I do. A lot of my friends do, too -- especially the ones who still live in Vancouver (i.e. who haven't moved out to the suburbs, as we have, to raise their children!). I bet the other suburban soccer moms assume I'm a hipster, because compared to the yoga-pants-and-Uggs-sporting ladies out here, I dress funny.