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@Maxwell_Duryea
Well from a profesional standpoint, you get what you pay for. Simple as that. Just like with bikes, and most anything. Depending on if you have already invested on lenses or not, you will go with Nikon or Canon for a DSLR. Point and shoot cameras are a bit different. I am a professional photographer and have been shooting for nearly three years now. I have used both Nikon and Canon for my daily work, and i have to say that Canon is a bit better. Glass is usually sharper, cameras are easier to navigate, and usually the colors are more brilliant and it takes better shots in low light. It used to be that Canon was the one way in front, but Nikon has started to bridge that gap with the release of their d200, d300 and some new lens'. Its really up to you, your preference, and what you like. I have a Canon 40D, a Canon 1D, and a Panasonic DMC-FX12, and its truly an excellent camera. I do a lot of work with it, and clients wouldnt know the difference. For some occasions, (strobe work, use of WA, telophot, action...so on...) you would need a DSLR, but for events such as getting into places where huge DSLR's are not allowed, a point and shoot is the best thing you have to work with. The Panasonic i have has been beat around for nearly a year, not too concerned about it because i have my other two primary Canon cameras. Its held up to a lot. Unless you plan on doing a lot of work with it and need the specialties of a DSLR, i would purchase a point and shoot. The Cybershot S70 is a good one, as well as Casio Exlim. Canon's Elph series is probably one of the best, and closest to a DSLR. Its more expensive, and even more here in Britain.
If you are dead set on a DSLR, get the 40d or the Nikon d200. either is great, but i have the 40d and can say its truly amazing. Shares a lot of the features found in the new MArk three, for a fifth of the price!
If ya need any more help, just ask.