I've been very happy with my Canon S-40 (the current model is the
S-45, also
very nice), but there are two points where it doesn't meet your
requirements:
1 - It doesn't use standard batteries (although it gets pretty good
life on its
non-standard LiIon rechargeable)
2 - It costs more than $300.  You could probably find a used S-40 in
the $250
range, though.

--- Richard Esplin <[EMAIL PROTECTED]> wrote:
>       My wife and I would like to purchase a digital camera for
> Christmas. I was hoping to get your input as to what kind of
> camera we should buy.  Neither of us are real photography
> buffs. We just want a camera that we can use to record family
> moments and occasional hiking trips. Here's our wish
> list:
> 
>       Under $300
>       At least 4 mega-pixel (so that we can print 8X10s)
>       Easy to use (for us amateurs)
>       Good in varied lighting conditions
>       Cheap to maintain (standard batteries, durable, etc)
>       3x optical zoom or better
>       Linux support as a camera and as a webcam
>       If it could take a minute or so of video and audio, that would be
> a bonus


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