The Khan el Khalili is fine. Don't let your guides tell you not to shop there. They often say this because they don't make commissions off the purchases in the Khan. Of course not everyone in the Khan is honest and above board, but you can find some that are. If you can find *Gouzlan Gold, go in there and ask for a map of the Khan. This map has several stores listed that are above board, have good value for the money you spend and will treat you with respect.

Gouzlan Gold can be found directly across the street (sidewalk/walkway) from the Naguib Mafouz Restaurant - VERY well known restaurant. Beware that the restaurant is closed right now and under restoration, so don't let people tell you it is closed and not tell you where it is. All you need to do is find the location, then you can find Gouzlan.

For meals, you can spend as little as LE1.50 for a falafel or foul sandwich or you can go to a restaurant like Chilies (family style) and spend closer to LE70-100 for a meal. If you go somewhere and want to add alcohol (wine-beer-other) to your meal, the price will go up substantially. Beers are going to cost a miinimum of LE30 each usually unless you find special bars with lower prices. They exist but most tourists don't find them without help.

As far as "area of town is a good place to shop in"? That depends on what you are shopping for. Giza and the pyramids is generally NOT a good area. It's safe enough, but everyone over charges for everything out there. Zamalek is a good place where things will be marked and sold for the listed price. If you want to go to a mall, try City Stars, Mall of Arabia, or Sun City. They are all upscale malls.