Many people on here will recommend the Sony EyeToy which is designed for use on the playstation. However, there are guides on the web which show how to use it as a webcam.
They work well and don't cost much. I'm getting one myself soon
Ah But my friend picked up a 2nd hand eyetoy for a fiver, and they're quality, I recommended it to him, I read around on the internet about the simple solution to get it working and I use mine, it's great.
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