With the release of DragonDictate for Macintosh I finally took the plunge and purchased it and a few good microphones, voice-recognition technology has finally come into its own. Now whenever I have large blocks of text to get into the computer invariably I use the voice recognition software. In fact, I'm using it right now.
It works quite well with cheap microphones and sloppy dictation, it works extremely well with good microphones and clear dictation. It also has the advantage of involving a different type of thinking. When dictating, I sit back stare off in the distance and think about what I'm going to say, instead of having my eyes glued to the screen and hammering away at the keyboard. I probably use dictation about half of my work now, and I'm a software engineer.
For microphones look at what
http://www.emicrophones.com has. I recommend the Sennheiser 431 II, the Samson wireless headset or the Samson wireless handheld microphone.