Short answer: from a technical standpoint, yes. There's lots of pre-build widgets out there to put "inline feeds" into your site.
That's entirely up to you, from both a content, and traffic shaping viewpoint.
The upside: If you do it right, then the landing pages you have the inline feeds, or aggregated feeds, become a destination point for your visitors. A lot of "average" users have no idea how to use RSS, so your page becomes a convenient, one stop shop for headlines relevant to a particular subject. You can really "shape" this in a lot of different ways to ensure that you're providing relevant info that won't send your users to the competition. In many ways, easier to control than AdSense.
The downside: Outclicks. But if you did the upside correctly, this isn't a huge concern.
Rule #1: Check the TOS for the RSS feed you're planning to include. Some websites are pretty explicit about an RSS feed being "For Private, Non Commercial Use Only." Big, old school outfits (think newspapers and TV stations) are the most likely to send a flock of lawyers to pound on your door if you publish their feed without permission.
Rule #2: Carefully craft the inline feed to suit your visitors. And by this, I mean go a step beyond just picking which feeds to display. Select what parts of those feeds you want to display. There are countless custom aggregation outfits around, use them, and use them wisely. It will allow you to get pretty specific. "Check Feed X, for keywords A, B, C, D, and E, but only if in combination with A or B." It really is possible to put that fine grained a control on things. Have the aggregator generate a custom RSS feed from your parameters, and then use that for your inline feed.
Rule #3: Refer to rule #1
Rule #4: Display only the headlines from outside feeds. Don't go overboard and do "Headline plus intro" or "Headline plus the whole dang article." Just give a headline and let the end user decide from that alone if it's worth pursuing.
Rule #5: Refer to rule #1
Ocean1000 is right about never visiting sites again once people subscribe to the feed. Many feeds, if not most, throw the whole article out through the feed. From a user standpoint, I find this great. It allows me to completely avoid the train wreck of bad design/user interface that IS the average website for an old school newspaper. Heck, it even allows you to avoid the train wreck of usability of sites that should know better (Wired comes to mind - it gets worse with every redesign).
On the other hand it really works in favor of sites that do it right. Webmasterworld is a really good example of this. Sure, WebmasterWorld pipes a good chunk of the thread down it's feed, but only so much. Basically the first page of posts. Beyond that, you have to click through to read the rest of the thread, and in the case of WebmasterWorld, participate in the conversation.
The key thing here is to provide the user with a compelling reason to click through and visit your site. Given the attention to detail that you seem to show about most things, I'm pretty sure that's within your ability.
You can also build advertising right into the XML of the RSS feed. Sure, people like me aren't going to see those ads because we'll have a feed reader that will allow us to block out advertising. But people like me aren't going to see the ads on your Website anyway, because I'll block all the ads there, as well.