I have a very large amount of knowledge on music production equipment and software.
To keep this short, it basically depends on your level of interest. It sounds like you aren't needing anything too intense. Without knowing anything in particular about your needs I would recommend Cubase or Audition for a balanced mix of MIDI and Audio recording/editing functionality. Cubase is more powerful, and backed by a company who does nothing but audio, but it is a bit more bloated that Audition (from what I have gathered). Neither of these require hardware (save a dongle) for operation.
NOTE: I have never used Audition, but Pyroette can give you more insight into it because I think she said she used that in school. My experience is mainly in professional recording with large Pro Tools TDM systems and their small LE counterparts for my home recordings.
Studio-in-a-box programs like Audition and Cubase are very good for beginners because they are pretty, offer less intense functionality and are a lot cheaper. They are also used when large degree of flexibility is not required.
There are also open source options, check them out, but I find the Windows ports to be buggy, so I would recommend running them only in Linux.
Everything below this line refers to Melodyne and other fucky trends saturating the industry...
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This is off point, but everyone at Melodyne should be shot for reducing music production to such a low and greasy point. A retarded monkey can be recorded slapping at a guitar, each note can be corrected to perfection (sounds like ass, but no one cares these days) and released under whatever Justin Bieber type bitch kid you wanna push into stardom. This was a major reason why I chose to return to school and become an electrical engineer.
Music was already trivial enough before they allowed these scumbag cunt producers to use even MORE technology to give someone without an atom of talent the appearance of talent for the sole purpose of profit. I have worked with these people, and they are fucking vermin. I left the industry purely because of it.
Giving access to media production/distribution for all people is good only if the content is pure, meaning the talent is there in the artist and not inherent in the production medium itself. Relying on pitch correctors for anything but effect takes what little real value music has at this point and rubs it out. We are left standing over a pile of shit that we must all now sit in.
The developers of these technologies meant for their product to be used sparingly, but the marketing departments at companies like Melodyne market this shit as if every vocal track ever recorded was sung loosely and turned into pure audio gold on the computer. This is not how it is done, but there are enough fucking lame producers and artists that use this shit as a crutch.... the issue is too large, and I disgress, hopefully there is some semblance of a point in there...
Sorry, another 2AM Kerpees rant is terminated.