WordPress 1.5
There are a lot of blogging systems out there. Both open-source and hosted. And many of the hosted solutions are, in fact, pretty good and free. What you lose with a hosted solution is the ability to control your plugins and make modifications. So while this may be fine for normal blogging, if you want to use a blog system as a content system you probably want to install it on a server and have complete control.
All that being said, WordPress 1.5 is probably the best combination of features, ease of use, and good looks out there. The installation is one screen. Just upload the files, rig a database, hit the install.php URL and you’re basically done. There are dozens of great looking skins and just as many plugins. Everything from shopping carts to hit counting is available.