In these tough economic times, people are looking for deals. They also want to drink.

That's the perfect combination for GoTime, which quietly introduced a new iPhone application late last month that shows happy hours at Seattle area bars based on your location. At last count, GoTime had collected information on more than 500 happy hours in the city.

Right now, for example, I can see that the Sundown Tavern is offering $2 drafts and that the Baranof is selling $2.50 well drinks and domestic beers. If you are not in the mood for those fantastic dive bars, just give the phone a shake. And like what Urbanspoon does for restaurants, GoTime produces a random happy hour that's close by. (My shakes turned up Ozzie's and The Little Red Hen.)

GoTime co-founder Jeff Khadavi said they created the free application after receiving numerous requests from users of its online event, club and restaurant directory. The happy hour tab is one of the most popular sections of the Web site.

"That's no surprise given the state of the economy and how people are looking to find ways to save money," said Khadavi, who delayed attending Columbia Business School in order to start GoTime last year.

So why give the app away for free? After all, wouldn't people pay 99 cents or $1.99 if they are going to save $2 or $3 on a cocktail?

Khadavi said they didn't want to "put any barriers on providing people with this extremely useful information." They are exploring revenue opportunities, including the ability to charge businesses for featured placement. (One could imagine a tavern or night club paying top dollar to show up every time a user shakes the iPhone.)

Khadavi declined to say how many people have downloaded the app since it was introduced a month ago, though he said it has been growing rapidly without much promotion. But that's going to change. GoTime this week introduced a partnership with KUBE 93.3 dubbed "Fan Fare." As part of the promotion, GoTime will give away a free $150 happy hour anywhere in the city once a week.

Given the number of people out of work who wouldn't mind a drink, I have no doubt that promotion will be successful.

In addition to the happy hour app, GoTime also offers a NightLife application to help people find local events and clubs. That app also is free.