Thoughts and advice are very welcome, and very appreciated. I have a digital audio recorder and there are some possibilities with that I am also interesting in more sophisticated software for recording Skype, that at the very least would allow me to control the recording levels. I would also be interested in any thoughts people have about alternative ways to record Skype (or other telephonic or VOiP calls) for Audacity. I'd rate my Audacity proficiency, on a 1 - 10 scale, about a 3, which is actually good enough to create decent sounding podcasts, but clearly not anywhere enough to solve this problem.
But I am wondering if there are some things in Audacity that I should know. My solution at the moment is to redo all my vocals. I've tried a number of the usual Audacity tools and they've helped marginally, but not really well enough for me to use the audio. The interviewee's voice is ok, but mine sounds terrible, as you'd expect when recorded too loudly. As a result, I am way too loud, and there is a lot of distortion. Because of the dynamics of the room, my laptop's speakers picked me up way too loudly, and the software I was using didn't allow for controlling the recording level. I did a Skype interview yesterday and I made a terrible mistake - I was in an unfamiliar room and I didn't adequately account for it.