depends. Electric is easier to play, because the strings are easy to press to the neck, but you need to buy an amp, and you may be driven crazy until he actually knows what he's doing.

Accoustics are good, but you can't really buy a "good" and "cheap" one.

My first electric guitar was (is--I love it to peices, it's amazing, yet cheap) the Ibanez Iceman 120.

Here's a review: http://www.musicgearreview.com/review-display/5885.html
Here's a picture: http://www.ibanezguitars.co.uk/acatalog/ICX_120.html
It should be around $250, but they don't make them anymore, I think, so you'll have to look at local stores--call around. Or keep searching the net.