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You can use a program like GarageBand (on a Mac) or Audacity (Mac or PC). Audacity is free, too. Just google it. It's software that lets you mix things together, including MP3s. Garageband is great because it works with iTunes, so whatever you have in your iTunes music library shows up right there in the program and all you have to do is drag and drop the song files where you want them, record externally (via a USB cable connected to a turntable/mixer or mic), do whatever you want. Then you put it all together with that program. It even has built-in sound effects. You don't necessarily need a mixing console, but it doesn't hurt (and you can get some pretty cheap ones that will work just fine). Check eBay.
Besides, streaming audio sucks. Who wants to be strapped down to their computer listening to music? Wouldn't you rather take it with you? That's the (huge) advantage that podcasting offers. Seriously, man, read up on it. Do some research. There are lots of sites out there that will store your show files for free, too (like Blip.tv, which we use here).
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"Go read a book and flunk a test." -Iggy