> can get some good wastebaskets at yard sales or wherever, I plan
I'd suggest trying to find metal ones. Or maybe wicker.
 I've not had good success trying to decoupage on any kind of plastic.
 > My question is this.  I've been using Mod Podge to decoupage
 > with, but on some things, I can't seem to get all the air bubbles out,
I'd try watering it down.  I found that helps a great deal.  It may mean that 
you need to do a few extra coats, but it is well worth it. The technical term 
that describes what you are trying to achieve is "self-leveling" or "flow".  
I found that when I used the Mod Podge out of the container, after awhile it 
became much too thick, and I ran into the problems you are describing.  
Because I do alot of layering and combination of images, I often spend a 
great deal of time before actually applying the finish, and it was getting 
thicker during the wait :-)
I hope that this helps!
dee
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