Newtonian Refractors are best used for planetary viewing. Good ones go for several hundred dollars (350-700, if I remember correctly).
However, I think Newtonian Reflectors are much better. A LARGE refractor is much harder to use than a LARGE reflector (and the larger, of course, the better). Actually, I've found most people find reflectors easier to use than refractors in general, anyway.
The viewing of planets in a large reflector is still pretty fantastic - I'm not sure how much you gain by using a refractor. Plus, reflectors are much better for deep-sky objects (nebula, star clusters, and galaxies).
I find that the deep-sky stuff is much more interesting than the planets - and even in light-polluted regions, chances are you'll at least be able to see the Andromeda Galaxy and a few star clusters. (I live in the middle of Chicago - if you go to the park by the lake, even with all the lights from the neighborhoods and with downtown being fairly close, you can still see the Andromeda Galaxy, the Orion Nebula, and a few star clusters - so I'm sure you'll be fine).
Good reflectors are more expensive than good refractors, but still within your price range. I got an 8" Dobsonian Mounted Reflector with two high-quality eyepieces from Meade for $800. (8" is the diameter - it's about 5 feet tall). It's quite portable (just a tube and a simple base - no complicated tripod or setup, and not all that heavy), and I can just throw it in the back seat of the car if I want to drive out to a dark area in the country. Real easy.
If you do get a reflector, get a Dobsonian mount. It's a very simple mount, that you just swivel with your hands to where you want. There isn't a rickety tripod, or complicated dials, or anything to make your life hard. Also, make sure you're getting quality eyepieces.
DON'T buy from a department store, or a science catalog, or anything like that. Not even a nature or science store.
Go to the telescope maker's website or catalog. Meade and Celestron are the two big ones, and Orion is an option too. Don't go anywhere else for your first scope.
If you have any more questions, feel free to ask. I don't know what your level of experience is.
(If you're just entering astronomy, I recommend "Nightwatch" as a book and set of star charts, and picking up a nice pair of 7x50 binoculars as well - they're key when using your telescope if you're just starting out, as the viewfinder won't be enough for you. They go for about $200-250. So pick up the book, the binoculars, and an 8" reflector for $1000, just within your price range).