If you're new to Wikispaces, you may not know they have a built-in math editor that uses LaTeX. You can also use MathType with it, or online editors such as Sitmo.

You embed equations with the built-in editor by placing them between math tags. Both the open and close tags are identical -- there's no slash in the close tag. So, a simple equation might look like this:
r = \sqrt {{x^2} + {y^2}}
Once it's rendered, here's how it looks:

One thing to keep in mind is that their implementation does not allow inl​ine equations; everything is a display equation. If you absolutely have to have an inline equation, you can do it by putting your text + equation all into LaTeX markup.

Ok, so here's where MathType comes in...

If you know LaTeX and are completely comfortable with it, knock yourself out and start using equations in Wikispaces all you want. If you don't know LaTeX though, and are a bit intimidated by the steep learning curve (which hardcore TeX-ies will deny exists), or if you have a Word document and want to include the equations in Wikispaces, you can create (or edit) your equation in MathType. In the Cut and Copy Preferences dialog (found in the Preferences menu), you choose the Wikispaces translator from the dropdown box. Create the equation in MathType, then copy it and paste it into Wikispaces. You don't need to worry about adding the math tags as described above, and you don't need to worry about deleting any delimiters as mentioned in the previous paragraph. MathType does it all for you. And just like with earlier versions, you can copy & paste or drag & drop from Wikispaces TO MathType as well. There are more detailed instructions about Using MathType with Wikispaces on the MathType website. Important: The article explains this, but it's important that you always paste the equation into a new line, as you can see above. Wikispaces does not allow inline equations.

Another cool thing about the LaTeX equations in Wikispaces -- they're displayed as GIFs, but they have LaTeX alt text. This allows a MathType user to either copy & paste or drag & drop the equation into MathType. Then it becomes a MathType equation, and you can edit it or use it just like any other MathType equation.

Using Sitmo on Wikispaces

You can use an online tool like Sitmo's Latex Equation Editor, which gives a MathType-like interface and then lets you drag-and-drop the image created on to a Wikispaces page. You can also put the gadget in the Navigation frame (adjusting its horizontal size to fit) if you don't like flipping back and forth between tabs.
One additional step is necessary, though.... because you are dragging an image onto the Wikispaces page, you need to click the caption off, otherwise the Latex will appear below the text..