How is the “sunken” or “inset” effect applied to these letters in this menu? I looked (briefly) with Firebug but can’t find how they’re doing it. Works in FF, not in IE.

See http://balsamiq.com/products/mockups/mybalsamiq for actual example.
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This is just a Text Shadow with a color lighter than the background instead of darker, causing it to look like a bevel. (We’ve been trained to believe that the ‘sunlight’ on a computer screen generally comes from the upper left corner.)
The CSS rule shown when using the Developer Tools for Safari shows: