Re: What about the costs - Here you go......
We returned from three weeks on budget travel in the DR in June. If you wann cheaper places and want to avoid other tourists (the latter was very important to us), avoid Sosua, Cabarete (not necessarily expensive, but very touristy) and Punta Cana (very expensive and very touristy). Try going to Bayahibe (near La Romana), Las Terrenas (Samana Peninsula), or inland to places like Costanza and Jarabacoa in the mountains. We traveled everywhere by Guaguas (8 seat minibuses carrying about 15 passengers) - a fun and very cheap way to travel and meet locals. I didn't see or hear of any campsites or youth hostels there, but here are some typical prices:
Hotel Room (no air con. or hot water) : US$15 - 20 Large Meal (local restaurant) : US$2-4 Street food (Empanadas, fruit, etc.) : US$1 Rum (in a bar ask for 'un servicio' - half a litre of rum, and a bottle of coke - just order more coke as you need it) : US$3 100 km journey by luxury bus (if that's your thing) : US$6 100 km journey by guagua (better way to travel) : US$3 Large bottle of Presidente beer : US$1-2
My wife and I traveled all around the country and spent an average of US$50 a day total.
Have fun,
David