Actually in 2007 it is not that bad than it used to be... There are at least 7 of 15 days of the Oktoberfest in October...

IIRC, the 2007 Oktoberfest is from September 22 to October 7th...

Munich will be packed and very expensive during that event so if you want to save money, don't go there (leaves more space for me in the tents)

Cheap travel: (Deutsche Bahn, Low Cost Carrier as HLX, Germanwings, Deutsche BA, Air Berlin, the "Mitfahrzentrale" (people meet over the Internet, share a rental car on a defined route like CGN-MUC))

Cheap hotels: ( try to get a "Jugendherbergsausweis" (membership for youth hostels))

Food: you can always find places for cheap and even good food, just look around