Nitro cars run "Glow" which is a mixture of methanol, nitromethane, and oil.

The Rustler is a great entry-level car.  Keep in mind that with any electric R/C you will also need to buy batteries and a charger.

LiFe is Lithium Iron Phosphate (also known as LiFePO4) and a safer version of Lithium Polymer.  You can't run LiFe or LiPo batteries in most starter cars easily because they require a low-voltage cutoff in the speed controller and most starters do not have those.

NiMH (Nickel Metal Hydride) is a good type of starter battery.  I'd suggest, at the very least, 3000mAh batteries.  5000mAh will get you the most runtime but of course costs quite a bit more.

Run-times are not easily calculated as it depends on how much throttle you give it, etc, but I'd say somewhere between 10-20 minutes per battery, maybe a tad bit longer if you get IB or GP batteries (I'd definitely suggest those if you can afford them...)

You can get a Duratrax Evader for $120 on tower but from personal experience (I own an Evader and an RC18T) I think the Rustler is worth the extra price, particularly since the $200 version includes a nice battery and a nice charger.