If you really want to be anonymous, I would recommend using TOR. Even if one’s IP address is hidden, there are still ways one can be tracked, such as tracking cookies, and various forms of browser fingerprinting. The TOR Browser Bundle, which is based on the ESR releases of FIrefox, comes with several privacy-enhancing tools.
Also, I can’t imagine there’s any way to determine whether VPN providers are logging the users’ activities. At least with TOR, the activities are difficult to track, since most of the relays can only see encrypted versions of the users web activities. The exit relays can see your unencrypted data (assuming you’re not using HTTPS), but can only determine the IP address of the relay the data came from, not the original users’ IP address.
There are downsides: browser plugins (Flash Player, Silverlight, etc.) might reveal your real IP Address, thus threatening your anonymity (I would assume this to be true of proxies, VPNs, and TOR). Therefore, the TOR Broswer Bundle disables plugins by default (many of these plugins are being replaced by HTML5, anyway). Also, you can only go as fast as your slowest relay, so one slow relay could mean slow internet. Making sure you are in a certain country is not impossible, but it is difficult (you will have to manually edit a text configuration file).