I live in a place where it is truly necessary to be a bag lady. And to complicate matters, it makes a difference which bag you use for what purpose.
In this land of public transportation, one has to convey goods by foot, by bus, or by subway. If you make a trip to the open market, you want a bag that can be carried in your hand with your arm straight down but not drag on the ground. Why? Because fruits, vegetables, eggs and such transport better if they are not jostled excessively.
If you make a trip to the supermarket, you want a bag that is large and can fit over your shoulder so that larger items (such as TP, cereal, flour & sugar) can be hauled more comfortably. Or you appreciate the plastic bag for frozen or "moist" items such as ice cream or meats.
I mustn't forget the flat-bottomed bag. What a lifesaver for carrying that dish to the potluck supper or that dessert to the small group meeting. Apple pie just isn't the same when you try to scrape it off the inside of a bag without a flat bottom. Trust me.
Then, if you didn't intend to make a shopping stop but the opportunity presents itself, you need the fold-up-tiny-but-get-bigger-when-needed bag that fits conveniently in your purse or pocket until called for. They are truly helpful devices.
And the real bonus is that each of these bags gets reused -- many times. :)