While we argue the merits of moisture barriers and vapor barriers which have different purposes, What you want to do is done all the time. Either a 6 mil plastic vapor barrier or just the kraft paper facing of the insulation as the vapor barrier on the the inside of the studs and insulation. But, you are concerned about your kids and it shouldn't stop here. Insulation needs to be covered with drywall to avoid possible fire hazards and especially with paper facing.
If your basement doesn't leak water or have water condense on the walls, then you probably aren't concerned with a moisture barrier on the concrete. Excess humidity in basements in best handled with a dehumidifier anyway and wall leaks are best handled from the outside. I don't necessarily disagree with much of everything Harold is saying except about the tyvek and the perferations but it is something to think about further.