Kenny, maybe I can help. I sell digi cameras when not in school or modelling. Pretty much, a lot of the features are similar at the different price levels. What to look out for firstly is the number of megapixels. 2 MP is good for a maximum of 5"x7", 3 MP is good for a max of 8"x10", 4 MP is good for a max of 11"x 14", and 5 MP can do up to 20"x 30" (sorry I didn't do the conversions for you).
Next up is the list of features. Mentioned above was the macro mode, this is GREAT for close up detail shots, however, make sure the camera is very still (brace it/use a tripod) and beware of your light (all cameras have an auto mode which is decent, as you step up in price you can get more adjustability which will let you be more creative with your pictures (adjusting F-Stop, Apetures, etc). Other maodes to look for include, but aren't limited to sports mode, portrait, landscape, night, and portrait with landscape background.
Zooms. I will reiterate what was said above about optical vs digital zoom. Optical brings you closer, digital takes the close image and stretches it. Unless you are going to get a camera with high MP counts for use printing small pics, AVOID THIS FEATURE LIKE THE PLAGUE. It causes your pics to be very grainy and, as such, they look awful.
On the topic of zooms. You will notice that most cameras have an optical zoom of about 3x and a digital of around 4x. Some cameras out there, like the Fuji Finepix 3800 and the Nikon Coolpix 5700 have a larger zoom (6x and 8x respectively). This is great for getting up close, but it takes forever to autofocus. Another downside of cameras with a huge zoom like this is the fact that if you or your subject move slightly (and I'm talking literally millimeters here), the picture will be very blurry and essentially useless. I would only reccomend a camera like this to someone who is using it for still life shots only.
Memory is another thing for you to keep in mind. Most cameras out there will come with either an 8MB or a 16MB card in the box. Unfortunately, while these will get you started, they don't hold a whole lot of pictures. Upgrading to at least a 64MB and ideally a 128MB card is reccomended. Depending on the size of the card, memory runs between $30 (32MB) and $180 (512MB) (USD). Also, make sure you buy the appropriate type of memory as there are different formats out there (Compact Flash, Secure Digital, xD, etc). Make sure the salesman tells you which one to get.
Batteries. This varies based on the camera, some are rechargable Li Ion batteries, but many use a good old AA. My personal reccomendation on this one is to get a camera that uses AA batteries. The Li Ion batteries, while they do last a little longer, are expensive and often times a pain in the butt to get. The AAs are easy to get. "But Jeff, why do I want a battery with a shorter life?" you may say. There's a way around this. Buy the rechargable batteries and a charger. Make sure you have enough batteries for at least two full sets (one in the camera, one in the charger, and maybe some extras in your pocket). Rechargable batteries cost about $14 (USD) and a one hour charger costs about $35-$40 (USD). A AA battery in a digi camera with the LCD screen in use often lasts about an hour and a half of active, rapid shooting.
LCD Screens and focusing. LCD screens are nice, they let you see the image you are going to frame without having a camera in your face. They are also a "what you see is what you get setup." I only have on major complaint about LCD screens on a camera...you can't tell if you are truly in focus with a manual focus camera. This is only a problem on a handful of the cameras on the market. Less expensive cameras do not have this feature.
Focusing. The biggest mistake I see when people bring in prints and a new camera and ask me why their pics look so bad has a simple fix. They don't know how to use an auto-focus on a digi camera properly. Most of them require you to push the firing button down halfway, hold it for a second, and then finish pushing it to take the picture. The result of this additional second of time is a much crisper image. Just pushing the button will, generally speaking, give you a blurry image.
After this long winded speech with no direct answers I will offer a few cameras which I have come to like through working with them. You can't go wrong with a Nikon or a Canon. They have excellent lenses and are pretty easy to learn (the Nikon cameras, IMHO, are a little easier and are more intuitive). You can get a 2MP Canon A60 for around $250 USD, and if you wanted to step it up a bit, I'd go with the 3.2MP Canon A70 for around $300 (USD). In terms of the Nikons (which I personally like their offerings in this level a little better), I'd recommend the Nikon Coolpix 2100 which goes for about $250 (USD).
Another company which offers some more economical (and also a couple super-cool accessories) while not skimping on the lenses is Kodak. You will give up a lot of the extra features and modes, but you will still have a very solid, functional camera. In terms of which Kodak cameras I like, I give props to the CX4200 ($150), CX4230 ($200), DX6340 ($330), and, my personal favorite of this lot, the LS443 which most retailers sell including the dock (see below) for around $380.
Kodak has two accessories that I wish all the other companies would offer as well. One is the Photo Dock. I can best compare this to the cradle of a cordless phone. When the camera is placed on it the Dock charges the batteries and accelerates loading pictures into your computer (when it's hooked up to your computer). This is only available for use with Kodak cameras. The dock is $80 (USD)
Another little device we just got in the store a few days ago is Kodak's new print dock, and let me tell you, this thing is SWEET!!! For about $200 (USD) you can take this home. It prints 4"x6" photos in about 90 seconds. When I first saw it, I honestly was a bit skeptical, but after trying it out, I fell in love. It prints the photo and coats it so it is archive quality for 75 yrs. In terms of the image itself, you wouldn't know that a photo shop didn't print your pictures. It's that good. Take note though, this only works with a few of their cameras (CX/DX6000 and LS6000 series cameras specifically).
Wow, this is by far the longest post I've ever made on this site. I hope this helps you a bit, and if anyone has any questions, feel free to post here or send me a PM, I'll do my best to help you out. Obviously you don't have to buy everything at once, I know the whole camera thing gets very expensive quickly, but in the long run, it is much cheaper than 35mm film/SLR cameras. Let me know how you do in your hunt for a camera and if you have any specific questions about a specific camera, digital photography in general, or anything I didn't cover, fire a PM my way and I'll see what I can do.
Happy hunting!!!