I understand the differences between Shared, VPS and Dedicated hosting as below: (Correct me if I am wrong)

In shared hosting we are sharing the server and resources with many customers/websites hence very economical but not good for high traffic websites.

In VPS, we will get a virtual server, which in turn installed in a physical server along with many other virtual servers, and hence like dedicated servers we will have more option to completely manage the (virtual)server. Also economical when compared with dedicated hosting

In dedicated server hosting, we will get a completely isolated our own physical server where will have complete management on the server and very good for high traffic websites.

My question is,

which one would be best in case if want to host a personal websites with an average traffic?

How we can understand the type of hosting plan when we are buying an hosting package? I used to see very less information provided in this regard by the hosting companies.

Any other comments/details which would be informative to the new webmasters/developers.

Thanks in Advance