Whatever you do, dont get a Sony. Sony uses a proprietary format that virtually no (except sony vegas, which handles the video excruciatingly slowly) video editing application will support it. Though I must admit the quality is absolutely amazing on my Handycam.
I'm not sure what's out these days, but I bought a Flip Mino HD which handles 720p is acceptable quality, but handles motion rather poorly. On the plus side it is a simple, straight-forward, and extremely compact camcorder. You just hit the record
button and go.
I can only speak from experience of what I have. I'm willing to bet the camcorder jimbo is talking about is much better. Camcorders get outdated pretty quickly.