The "Elven Armor" is held by Azani Blackheart who is located at a large Ayleid ruin called Atatar. You can find this ruin somewhere between Bravil and Leyawiin. Although Azani does not have a -Full- set of Elven Armor he has the most complete set you can get without having to be a high level. He is however very tough to beat.
Killing Azani Blackheart is part of a Fighters Guild quest called "Azani Blackheart". You will also find a Sinweaver on him which does Fire Damage and Drain Fatigue.
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once u start get higher in level bandits and random bad guys will start wearing it
you can find them in lake arrius caverns
You should use something like wine to play Oblivion on a mac. You can find it very easy on google. That or just wait until Oblivion comes out for the Mac (if that ever happens).
You never become an actual god in Oblivion.
It's behind the abandoned house on the waterfront. You should be able to use your in-game map to find it.