Best digital camera but not expensive?

I want a really good digital camera i already have a nikon d40
i want something similar to that camera but i want something a lot smaller
a camera that will capture EVERYTHING in the pictures, like the rays of the sunlight, sunlight, clouds, raindrops
just everything.
i also want it to be able to make videos. Which camera is really good but not so expensive i'm willing to spend anywhere from 150-200 or even 250 at the most

Sounds like you expect a camera company to just give you a camera. Quality isn't cheap, never has been.

Second you don't understand photography very well if this is what you expect. Seems you know nothing about light, exposure, aperture, shutter speed but expect the camera to just do everything for you. That's not how it works.

I won't take the time here to explain all these things to you that you need to learn on your own. After some proper schooling you'll understand that what you're asking isn't a camera function, it's a function of photographer knowledge and light.

That's what your current D40 is capable of, in the hands of a skilled photographer:

You won't get anything better with that budget… It'd be best if you spend it on a new, good lens for your current camera.

I think you'll like the Nikon Coolpix L22. Its small and it is less than $80. I think you'll find this website real helpful:
http://nikoncoolpix123.blogspot.com/2011/01/nikon-coolpix-l22.html