If it is burning oil, and smoking very badly (blue smoke) then the oil control rings/cylinders are shot- and the engine would have to be rebuilt or replaced. Mild puffs of blue smoke after standing and taking off like from a traffic light would indicate possible valve seal/guides that are worn out. A plugged PCV system can also cause problems as well as having too much oil in the crankcase.
The answer to this depends on what kind of oil you are talking about. If you put a heavier weight oil (like 5 weight) in your car instead of say,30 weight, it will cause your car to act sluggish in the cold weather because the oil is thicker. If you put a lighter weight (30 weight ) in a vehicle that needs a heavier oil, the car will still run but not as well as using the correct type of oil. If you put transmission oil in your car's engine oil pan by mistake; you should empty out the oil pan immediately (when the oil and car are cold) and flush it or refill it with the correct oil as soon as you have realized it was the wrong oil.
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