2- Why a DSLR camera?

Although not mandatory, a DSLR (Digital Single Lens Reflex) camera, gives you flexibility not found in a point and shoot camera. Different than what most people believe, it is not the number of pixels that makes the most difference. There are 8MB point and shoot cameras in the market today that are unable of creating an image of a 4MB SLR camera. Most of the images seen on the Internet are smaller than 100Kb.
Cost no longer justifies NOT buying a SLR, because you can buy a good used one for “less” than a new pink/chromed/thin/cool looking point and shoot camera.
Today (Sep/2008) you can find a used Canon 10D at eBay for around US$400.00, and that is a magnesium body camera built to last generations. I happen to be a Canon shutter, but any other brand built in 2003/4 can be bought for peanuts today, and it will do a great job for you. But, off course, if budget is not an issue, buy the latest DSLR.
Always remember that the investment is really on the lenses, not the camera. For instance, a 70-200mm f2.8L IS Canon Zoom lens has the same price today (US$ 1,600.00) than when it was first launched in 2003. So, if you are on a budget, buy a used body, and keep your money for glasses.
As you visit here more often, you will find more evidence of the superiority of a SLRs camera.

In short they are:

1. Engineered to last generations
2. Allow interchangeable lenses, which provides more freedom for creation
3. Flash units can be used on or off camera.