Not a lot of true "blacksmiths" around, but many metalworkers with a love of forging.  The ability to instantly fuse steel together in intricate or super strong ways is unbelievable.  And welders are cheeep, and can make you quick $.  You can use the technology however you like but to limit yourself seems silly.   Personally i have no problems with welding but tend to design away from grinding.

I own an oxy/propane I cut and weld with, I own a 225 amp Mig I make lots of money with, I own a cheap tig setup that pays for itself, I on a miller true blue gold stick that has paid for itself in the repair of anvils alone.

I am a blacksmith and welder and do a lot of general repair and fabricating. I use them to make money and I do enjoy it as well.

I LOVE the art of blacksmithing and when I blacksmith I tend to stay traditional with forge welding and all the other types of joinery I have mastered. Do what interests you and that may include include welding in your future.

I'll be demonstrating some forge welding at a hands-on workshop in Westminster, SC, January 11-12-13. for the Philip Simmons Blacksmiths Guild. They charge $20 for "tire kickers" (observers); more for iron pounding participants. On their website, contact Barry Myers for info.

 

I use my arc and o/a welders for tool and jig making. Most of my welding is in the forge.

As Glenn said I`d go for a OA torch set over an electric welder for a first buy. As he stated it will allow you to cut as well as weld. It will also teach you a lot of things about the nature of heat, the where and how of how to effectively to apply heat. That type of easily controlled knowledge will can be readily transferred to your forging skill set. As an example;  forge brazing skills are more easily understood by most people if they are first demonstrated  with a torch and localized heat and you can see how that heat can be used to actually direct the flow of the filler material. You also don`t have the added distraction of fire tending as well as a clear view of the joint during the brazing process.

    One other thing to consider about restricting yourself only to forge welding;unless you`ve got a big,well equipped shop and a huge industrial sized forge not everything you`ll need to weld can or will fit in your forge and rivets don`t hold water (or other liquids)very well.

 

  My personal approach to this craft, as well as other crafts, has been to do all I can with what I have on hand. I try not to think about buying something new until I have a real world a need for it. Do you need a welder to be a blacksmith? Obviously not because there were blacksmiths long before there were welding machines. It`s also a fact that if you decide to work metal for other people, like paying customers, then you will sooner or later end up buying a welder. My suggestion would be to put it off as long as you can, save up and then buy the absolute best used machine you can afford.

If you are one of those kinds of people who says "but I can't do that, because I don't have a welder," then get a welder, if only to stop the whining.  As Bob said above, Thomas's suggestions about forge welding may not work out that well for you if you are doing something big or fiddly.  I have done hundreds or thousands of forge welds, but I have not been able to piece together an anvil.  I did try a couple of times and ended up wasting a lot of fuel.  It is not straightforward.  On the other hand, I have successfully welded together a lot of fabricated anvils with a stick welder, and two are fairly decent substitutes for the real thing.  Also, I welded one of the broken ribs back together on my umbrella without taking off the nylon cloth.  I'm sure that an excellent blacksmith can forge weld this (without taking off the cloth), but I am not interested in doing that task.  It is kind of silly.  But, it is natural for a micro-TIG welder.

 

My favorite technique is to see if you can do without and just sit and wait until one comes by on Craigslist for a decent price.  Or borrow one from a friend and give it a try.  Make sure to return it, though.

I can think of several world famous metal sculptors that used arc welders extensively. As an artist is it usually *better* to have "many strings to your bow" than to limit yourself. Especially when you are just starting out!

Ryan, check into www.AlexBealer.org .  They meet at different member's shops each 3rd Saturday 9:00 am. 
I will be there for the February meeting.  You can learn a lot by attending monthly meetings and paying attention to the demonstrations.  The third weekend in May will be the Southern Blacksmiths' conference ( www.sbaconference.com/) in Madison Georgia.  Good tailgating and demonstrations.  Not to mention the fellowship and making new similarly interested friends.

I want to second the suggestion of learning how to weld with oxy/acetylene torch. Then you can step up from there to TIG very easily. I think a welder is definitely needed if you plan to make any tools.