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For the most part, anytime I leave the house, I have a Ka-Bar tdi knife and a SAK on. The handle shape of the Ka-bar allows it to be drawn like a pistol, and the blade is very municipal friendly, at only 2.31 inches long. Also, you can't beat the price ($25-30 before shipping). Even when I can't carry a gun (in a bar for example) I still carry a TDI and a Surefire or Coast tac light.
That being said, CRKT, Kershaw, Spyderco and Gerber make some decent, inexpensive knives that can be used for self defense.
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