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Yes, basement insulation needs a vapor barrier due to its susceptibility to moisture seeping in from the outside of the house. You should install a moisture barrier before you install insulation or purchase insulation that comes prebuilt with a moisture barrier to avoid water damage in your insulation and costly mold and water remediation expenses. 

Costs depend on area size, material thickness, and site preparation needs.

Insulating windows with plastic works, but it can be time-consuming, and the end results can—and often do—end up lacking in aesthetics. Window film and caulking your windows to make sure there are no drafts are two options that increase the energy efficiency of your home in a low-cost way. Plastic can be a good strategy while you consider alternatives.

For standard 2x4 walls, the ideal insulation has an R-value between R-13 and R-15. This level of insulation, typically around 3.5 inches thick, fits well within the wall cavity. Common options include fiberglass batts and spray foam. The best choice for your home can depend on your climate; use R-value maps, like those from Energy Star, to determine the recommended level for your region. For colder climates, you might also consider adding exterior insulation for greater efficiency. Always check with your local building codes to ensure you meet any required standards.