Ok, the jump from xbox to xbox 360 graphic wise is HUGE, I swear to god its just mind boggling. Take a look at my other thread about These graphics are amazing and look at that image, Thats of a car in Test Drive unlimited, That just shows you how good that is.
On a scale of one to ten, if xbox is a 2, xbox 360 is a 10.
And The prices of HDTVs vary, You can get say a 25-32 inch for $700, or around a 42 for $1,600 I know this HDTV/Monitor My mothers getting is 22" and cost $450 But there is good news, They should be going down by alot very soon and very quickly, I would wait a few months before buying one if you end up saving money. The ammount of money it costs to build them is going down, thus the ammount of money they ask for them will too.