paypal can be very dangerous and given how you thing it works and is safe it is best for you to avoid using them. but there are deals which happen with paypal which work fine. need to be much more careful though.
mtgox is on the way out. they are only still used so much because before they were the biggest/only major exchange. now its so much hassle for everyone. not all their fault i dont think, the us gov. has cracked down on them. localbitcoins is the way to go now i think. just need to be careful for being scammed but its easy enough to avoid.