Step 1: Consider your situation
The answer is yes.
Clothes lines are old fashion technology and usually work best outside on a sunny day. After a little experiment we found out they work inside just fine too. Even in winter, as long as your dorm isn't absolutely frigid you can still dry your clothes for free. I'm not kidding, no really... I go to boarding school in Northern Maine only a few miles from the Canadian border, it's COLD! However, with a little ingenuity and time you can still have an effective clothes line.
Here is a picture of one of the clothes lines we've put up in my time at school. http://www.instructables.com/files/deriv/FKL/KNYQ/FKX1DC8G/FKLKNYQFKX1DC8G.MEDIUM.jpg
Step 2: Setup your room?
Make use of standard dorm room furniture and appliances such as wardrobes, book shelfs, loft beds, and even refrigerators. Anything with some height to it. Another thing that may be overlooked are window shades. My first clothes line was attached to the window shade and ran lengthwise along my room where it was attached to a wooden chair atop my wardrobe. Sketchy? Yes. Effective? Surprisingly.
Here is a picture of the first line I put up, it was originally intended to just supplement a load of clothes which had been dried once already (our dryers are pretty terrible). The chair at the end was attached with more clothes line which ran down the side of the wardrobe and was weighted down. The end of the rope was also pulled underneath the wardrobe.