DS has a Leapfrog Learning Laptop that he loves and puzzles. He loves puzzles and would do them all day if he could. We especially love the Melissa & Doug puzzles.
Puzzles, books, those lacing cards(she doesn't lace them in the correct order, but she enjoys them), any type of pretend toy(food, doctor kit, dress up stuff)
Play dough (good for hand development, tones for writing later on), puzzles, books, lacing cards, pattern blocks and cards, sequencing picture cards, memory games (although that's more 3 years old I think), LeapFrog Fridge Phonics, Gears.
Re: Educational Toys 2 year old
My DD loves puzzles and pretend play. She's really into her play kitchen now and has always loved playing with her baby doll.
We bought her the Graco baby doll play set. It comes with a stroller, swing thing, PNP, ect.