Questions about Panel Nodes

I'm having some difficulty using Panel Nodes. Specifically, how do I add content to them? I've done the following:

1. Edit the Panel Node
2. Click the tab for "Panel content"
3. Click the little plus sign on one of my panels to add a pane.

This brings up a dialogue box. However, the options don't make any sense to me. How do I add a reference to another node? There is a list of options for "Node context", but every time I choose one of these, it seems to refer back to the panel node itself; that is, it simply duplicates the title/body of the panel node I'm currently editing. I don't see how this is useful.

How do I get a Panel Node to display the contents of other nodes in its panels?

I need to use a Panel Node specifically (rather than a static Panels page) because my ambition is to create a magazine site organized into discrete "issues", where each issue is set up with a paneled layout (and each issue may be laid out differently). The current issue will appear in a news section (as the default front page), and previous issues will be archived in a list by date. The main point is that each issue will have its own panel layout (possibly unique), and should carry that panel layout with it as it moves onto and off of the front page.

Is there some way to accomplish this goal by other means that I'm not aware of (perhaps CCK, Taxonomy and Views)? I don't fully understand how to use all of the features of these, so I may be missing something.

Still, a node with panels to other nodes strikes me as the least clunky implementation of my idea.

Thanks in advance to anyone who can help.