I came across this bag of small gauge yarn. Looks too thin to be regular yarn and too thick to be crochet yarn. The skeins are short length, also. I thought someone here that did needle or knit craft would know what this type of yarn is used for.
Jeannine is right - looks like wool tapestry, or needlepoint, yarn and possibly cotton floss farther down in the bag. All for embroidery. If you cannot find a buyer - consider donating it to the local Embroiderer's Guild. They are a non-profit and you can deduct the donation. You can see if there is a chapter nearby here:
