Hi

>> I am just wondering that how many types of Open Source License are there?
>> and how can I decide which one is best for my purpose.

The choice of license depends upon your exact use case and what do you
expect from furture users/contributors/your own application.

opendawn[1] is a pretty useful web tool to help you decide about the
type of license you would want.
For a comparison among some common licenses, you can look at License Chooser[2]

And finally, there's a pretty exhaustive blo post at [3] to let you
become smarter in your choice.

[1]: http://www.opendawn.com/choose/#start
[2]: http://three.org/openart/license_chooser/
[3]: http://blog.milkingthegnu.org/2008/03/10-answers-for.html
-- 
Regards
Siddharth Srivastava

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