I fixed her hat. I went the route of frogging an inch or so, decreased and reknit those rows. Then I turned the hat over and the smaller side is the bottom! It was annoying to have to redo but now it fits. I used Knitpicks Shimmer in the color Happy Dance. It's triple stranded since that's how I knit my clapotis and this was the leftover yarn. I used size 4 needles and it made a nice, soft fabric for baby's head. I wanted just a few more rows on the top so I used some sock yarn leftover from my over-the-knee socks.
P.S. I'm on Ravelry now!! Come visit me! I'm caseyk.