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It's hard to know what sort of speakers would be best without knowing the exact make and model number of your receiver; please be specific.
Also, if you were to use powered speakers, what exactly would you be connecting to them as an input device?
Depends. Something like the Audioengine powered speakers are pretty good for the money, but won't extend that far into deep bass or high SPLs. There isn't a powered speaker I'm aware of in the price range you mentioned that will. Things like the larger powered ATCs or Genelecs run some serious coin. So if you are looking for a full frequency range speaker capable of high SPLs, it's non powered speakers.
Two manufacturers I am familiar with in the price range are SVS and Tekton Designs, both direct sales marketers. SVS is manufactured offshore, Tekton in Utah. Both offer a full range of speakers and a trial period (understand the return terms). There are lots of speakers in the price range, those were the two makers that made the short list. Bought the big Tekton Pendragons on special. An old 25 wpc Yamaha receiver drives them just fine, a 200 wpc power amp really drives them loud and clean. $2054 delivered to my doorstep direct. My room is comparable in size to yours and there is no problem completely energizing the room. Does all that audiophile stuff just fine too.
Power amplifiers? Rogue Audio, Odyssey, Rotel come to mind for power at a reasonable price. I own Rotel, the amp has chugged along for fifteen years with no need to replace it. Not being particularly well off, I'm all about bang for the buck and long term ownership.
There are some great choices that you could afford. Audio Engine A5+ is one of the best friendly one with decent performance. I bought it last month after seeing the review from it. 50 watts per channel and their custom Kevlar making it more promising.
Here the site if you are interested: http://www.computer3g.com/best-bookshelf-speakers-under-500/
How will you connect either the amps or the powered speakers to your AVR? Does is have analog outputs?