Reciprocal Links are where two sites link to each other usually for the purpose of boosting others ranking. Google has caught on to this and doesn't values these kinds of links as much as simple one-way link.
While Reciprocal Links aren't as valuable, they are easy to get and can be used in moderation to increase your rank in the search engines, especially when you're first starting out.
A good place to find other people interested in Reciprocal Links is: http://www.linkmarket.com
Just make sure that the people you partner with have PR greater than 0 and are related to your site's topic. Also visit the site and make sure it's something you want to link to.
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