I have finally figured it out, but it took the right tools. Below are simple instructions for adding great video to your Activerain blog:
1. Taking a video using Flip Mino Camera is the simplest way I've found.
2. Create video using Flip's simple instructions, add music if desired, and save to Youtube using your strategically selected keywords for tags.
3. Write your blog on Activerain and save it to publish it.
4. Copy the code from Youtube on your video (this is an option you have while watching the video, either copying the code or the URL- for this purpose, take the code. Don't forget to share on Facebook and Twitter if you've created this wonderful video! Also send by email to friends right from Youtube!)
5. Return to your blog and edit it, going to the HTML tab you see at the top of the body (typically you are writing in WYSIWYG tab, but switch over to HTML tab.)
6. Paste the code between the paragraphs, where you want it.
8. Review the blog and enjoy!