The glossary will tell you the difference. Okay, this can clear up some confusion and answer some questions about how digital cameras work, but you can still get bogged down as to which is the best to buy, simply because there are so many to choose from. DPReview offers specific reviews on dozens of models. Start with their buying guide, choose the features that are important to you, something you will have found out on other pages in this site, select them, then see which models have those features at what price. Maybe the easiest way is to come to DPReview with a model number you are interested in and see what they have to say about it.
Film still works just fine.