Absolutely. My parents only rarely bought me new clothes until I stopped growing. It wasn't worth it when I'd outgrow the clothes in a matter of months. We generally shopped at thrift stores, although I also got a lot of hand-me-downs from my first cousin, who is six months older than me and lived just a few miles away.

Exceptions including underwear and swimsuits — cause, eww — and shoes, as several people have mentioned.