I dabble a bit with digital video editing and quite a bit with converting of analogue video to digital. High Def is of course nice but as mentioned very accurately I might add, it does come at some extra expense and practicality.
Some camcorders can shoot in either mode and you never mentioned your price range or your intent with respect to video editing.
My choice of standard definition video is the MiniDV format by far over either hard drive or DVD type camcorders. The DV codec offers a much more lightly compressed video with full frame references and is a VERY edit friendly format. MPEG type camcorders such as the hard drive and DVD start life as highly compressed video designed as an output or viewing codec rather than an editing friendly codec.
Much depends on your intended use. I can tell you lots of people starting out say they have no intention of editing their video, and find out later that they were wrong.
So, IMO speaking in terms of Standard Definition Video, I would recommend the MiniDV format, and a capable computer ( ideally free from internet use and tons of programs running in the background) a seperate external or internal hard drive, (cheap these days) specifically for storing and manipulating your digital video, and a firewire connection (which is a must) for downloading your DV video to your computer. USB is n/g for this.
As far as software to do your editing, rule number one is to download and try the free demo version of any program you may be interested in.
Again, IMO and in the order of what I believe to be the best software, Adobe Premiere or Premiere Elements, followed closely by Sony Vegas or Vegas Movie Studio, next in a slightly distant third are the ULEAD products such as Media Studio and Video Studio. The Pinnacle products ... I wouldn't touch with a 10 foot pole. Hope that offered a little more info.
Here is the place to log onto and ask your questions ....
http://www.camcorderinfo.com/bbs/f1