Deals are definitely to be had. For example, right now I could pick up a pair of Northwave Genetix road shoes from Nashbar for $90 plus shipping, and a pair of Time Impact Mag pedals from Competitive Cyclist for $85 plus shipping. For a little under $200, I would have what would have been pretty top of the line shoe/pedal combo just a year or two ago. (In fact, the Impact deal was so good, I picked up a pair for my winter bike, so I wouldn't have to switch cleats or shoes.) Obviously, step down a bit and you could do even better, probably easily into your $150 limit.

Now for the really important part: no matter how good the deal appears, you're just pi$$ing away your cash if the shoes don't fit properly, so make sure you either are absolutely sure of what you want/need and/or buy from someplace with a good return policy.