Camcorder::HELP!

So my parents are buying us a camcorder and we want to pick it out early so we have it when Baby H arrives BUT I'm lost!  I don't know much about them [as in I've really never used one].  My parents had something that resembled this growing up...

Not exactly, but definitely similar!  Via Google

Note:  No worries...they did upgrade to a handheld when those hit the markets!


But really I don't know what we need.  We want something that will just hook up to our computer to make digital files [which I'm sure they all do by now] and something semi small so that we'll actually use it.  I don't need crazy awesome quality, but I would like something decent.  Good color, clarity, and image stability.  We aren't brand specific.  We have an apple laptop, canon camera, samsung tv...you get my drift.


Is a $100 flipcam good enough for our needs?

Or do we go with something a little bigger?

HELP!!  


What camcorder do you have?  What do you like/dislike about it?  Is there anything we must know before we decide on one?


--the clueless parents!