The hangers are super skinny, but they are much better than wire, because they have soft fuzzy coating to protect your clothes. This coating also keeps your blouses and finer things from slipping off. They are not all that wide, which is perfect if you are petite - your tops don't end up with dents in the shoulders. I.e., they fit an XS or S top perfectly. If you are petite, or have narrow shoulders, you know how wire hangers can be too wide for your tops.
Maya, to answer your original question, I think you have too many clothes if you are not wearing all of them and don't even remember what you have. That doesn't seem to be your case, so it sounds more like an organization/lack of space issue to me.
I have been slowly trying to adopt the "keep everything in sight" system, but realistically, given our space constraints, I don't think it's ever going to be possible. I am still going to rotate the items that are only ever worn in summer (shorts, bathing suits, beach cover ups) with the items only ever worn in winter (heavy sweaters, wool pants). But I have somehow managed to make room for - nearly all - of the spring/fall stuff to all live in the closet year round - woo hoo! I have less now in storage than I've ever had.
On the fold vs hang issue, here's how I have things organized:
Folded/in drawer:
- jeans
- ponte knit pants
- undies
- bras
- pj's (I don't even bother to fold)
- workout gear
- knit tees (the inexpensive ones and the ones that never seem to wrinkle)
- camis
Folded/in wire basket in closet (has wheels so I can roll in and out):
- cardigans and sweaters... I have these organized by type, i.e., 3/4 sleeve cropped cardis are all together; long cardis are all together; bulky sweaters together; merino v-neck cardis together, patterned sweaters together)
- scarves
- hats and gloves
Hangs in closet (from left to right):
- occasional dresses (tucked into far corner of closet, hard to reach!)
- every day dresses
- dress pants (I do not fold over the hanger - I keep these hanging full length - find it takes less room this way)
- skirts
- jackets & blazers
- blouses (organized by material/dressiness, with dressy silk blouses closer to the jackets, and better but more casual knit tops at the other end)
- leather jackets, denim jackets, and other outwear (I never used to have room to keep these in my bedroom closet - they'd go in the hall closet. Now I do!)
Shoes are in an over-the-door organizer.
Boots now live on the top shelf - this is working out great.
Purses live in a dresser near my front door.
Maya, my kids used to have the same kind of dresser as yours. Do you have trouble opening and closing the drawers? Theirs was a real pain in the butt... which I eventually concluded was the reason they never put their stuff away! I ended up getting them something like this:
http://www.containerstore.com/.....d=10014858
... which sits in their closets. The drawers glide in and out easily, and are quite generously sized too. This system works much better for them. There is still room to hang items above it, but they don't have all that much that they would hang anyway.