What kind of bike should i get?

I would like to get a new bike because my old one is getting too small, and is really heavy. My old one is a mountain bike, and don't ride off-road that much, though i occasionally do. I would be riding on streets most of the time. I would like it to shift smoothly, because that annoys me so much.

Also, what is the advantage to disk brakes?
I would like to spend $400, but if you really recomend a bike i could go to about $550
 
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