Best way to drywall a basement
I am not sure why some would say no to wood frame, I have done this for years if the basement is dry. Remember if this is a living space it will require outlets every 12' or no space further than 6' from a outlet excluding doorway spaces. 
I put 2x4's flat on the wall , I run the power to junction boxes in the ceiling and drop 1 wire to the shallow outlet boxes because there is not enough room in a shallow box for more than 1 wire and 1 outlet. I think this looks much better than surface mounted in conduit and it is cheaper. I would not add a vapor barrier it would trap any moisture in the wall and insulation possibly creating a mold breeding ground.