ya recommend audacity too because its free and an effective software.
Audacity would be the most popular software for such a purpose. I have always wanted to check it out but not had the time yet. Haven't really had a need for it yet. If you do try it out, let us know what you thought of it.
Use Adobe Audition.
It's a good program for recording.
I recommend Audacity as well. It is free and not overly complicated. It can export WAV, MP3 and OGG-Vorbis formats (so if you've got a CD-burning program like Nero already, you can make an ordinary audio CD or an MP3 CD). There are many different plugins you can download for Audacity as well, so you can choose which effects you want to have available. The only downside is that its noise-removal effect can introduce distortion, unfortunately. Other than that, it's a good piece of software.
Audacity is generally considered the best that I know of despite a few uninuitive features.
On a side-note, with Skype and Ventrilo you can also record conversations if that is at all useful to you. They're slightly compressed, but Skype and Ventrilo have some high quality codec options.