Some recommendations from a former, 10-year resident of the area:

I, too, recommend taking the Metro as the weekday traffic for 50+ miles in every direction can be unnerving.  Also, parking in D.C. proper (garages) is extremely expensive and competitive as monthly space holders get priority.  Metered parking with long stays are hard to come by, especially in the Smithsonian Mall area.  Parking at the Metro stations can be non-existent on weekdays.  All of these are good reasons for NOT renting a car while in D.C.

Here's a link to the Metro system map and info about the day pass, a real bargain:
http://www.wmata.com/metrorail/systemmap.cfm
The lower right quadrant of the diamond shape that defines the Capitol's boundaries can be a rough area, both day and night.

Here's the scoop on the Metro Pass taken from the website:

Metrorail $5 One-Day Pass a great value for visitors
Visitors, take advantage of the economical Metrorail $5 One-Day Pass valid for one day of unlimited Metrorail travel on weekdays after 9:30 a.m. or all day on Saturdays, Sundays or federal holidays. The One-Day Pass is available from the farecard machines in all stations, at the Metro Center, Pentagon and Metro Headquarters sales offices and at dozens of sales outlets throughout the region.

Enjoy!  It's a world-class city that has a lot to offer.  If you're adventurous eaters, try any of the Ethiopian restaurants in the Adams-Morgan area.  Also, there is a good variety of musical entertainment (with different price ranges) at the Kennedy Center and behind-the-scenes tours there.

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