Linking to Other Blogs

I'm thinking about doing one of those coolio "Other People Who Are Also Cool And Whose Blogs You Should Check Out" kind of things.

Except, y'know, more coherent.

Because I can think of quite a few blogs I really love and want to send traffic to, especially knowing how absolutely amazing it feels to be linked to (Martin just linked to me on his blog In Pursuit of Expression and it just made my...like...whole year)! 

But I can't decide if I should do a separate page, or a sidebar thing, or what!  What do you guys do on your own blogs?  Or better yet, if someone else links TO you, what do they do that actually brings you traffic?

Help!

Give me some input in the comments, would ya?  ;)

P.S. I'm putting out a call for guest bloggers.  I'm looking for humor.  That's about it for guidelines, minus of course your spelling not being shit.  You would of course have epic linkage and a cool pic/author bio thingy.  Email me at jilldetrabajos@gmail.com or check out my Guest Post page for more info!