Generally, dynamic mics are used on guitar cabinets, but condensers can work too as long as you don't have too high of an SPL level. I've used a condenser on my guitar amp with good results.
You may want to consider something like a Shure SM57 for guitar cabs. If you're just looking for something real cheap that will give good results I'm sure the MSH mic will do good. Just be careful with volume levels.