Is there a module for creating a web directory like Dmoz? I need to be able to organize different sets of content using the taxonomy. The user can visually click through the different layers of the directory and find what there looking for. I want to have full control over the way the categories are arranged and styled.
You could use taxonomy_menu module. It is compatible with D7. You can arrange the taxonomy in whatever style you want and embed it in views/pages/blocks.