Which model to buy...

I need some help deciding which model to buy. I currently own an:
imac g4 800 MHz
with a 15 inch flat panel
512MB SDRAM
60G Hard drive
2x Superdrive that only writes to DVD-R
There is no question in my mind that an upgrade would make me happy. I just need to decide on what to upgrade to.
I may have narrowed it down to any of the imac g5 models.
First, i'd like to know if i would experience a significant difference editing in final cut pro (i do freelance video editing) with a new imac g5 as compared to editing in my current imac g4 (particularly in exporting and compressing). Ofcourse, i'm certain that it would be faster. But i may be expecting too much of a difference. Apple even goes so far as saying "forget you ever waited for your computer to do what you said" on the website. The optimist in me wants to expect something mind blowingly fast. Can anyone shed some light on this for me.
Now, to my specific choices (i've narrowed it down to 2, based on my budget which i've stretched to its limit):
(1) imac 17"/2GHz/512/400G
or
(2) imac 20"/2GHz/512/250G
Option 2 is just about $20 more expensive than option 1. So i'm leaning towards option 2 because I do alot of graphic arts, web design and video editing work and a big canvas to work on really makes a big difference for me. But i'm also thinking that the 150G extra hard disk space could be very useful.
So, it's a question of bigger display or bigger hard drive for me.
I'm still leaning towards option 2 because I can eventually buy an external HD in the future if ever i'll need it and have enough money (is this a good idea? i've seen a few "problems with external HD" posts in the forum).
So in summation:
In purchasing my new mac...
(1) Will I experience a mind blowing difference editing videos in final cut pro compared to the current mac that i currently have?
(2) bigger display or bigger hard drive?
And if you think I should choose from a different set of options, please feel free to suggest. I will be more confused, but I always believe in putting much thought in purchases like these. If you've read this far, thank you and my apologies.

Well I am going to throw a wrench in the works...
I not going to give a complete History here, but I have edited on a 800MHz iMac G4, an iMac 1.6 G5, and a couple of PowerMac G5's. I have also used Photoshop on all 3. For my money, I would get a Dual. Maybe wait for a refurbished on the Apple site or check eBay. IMHO, a fast dual G4 will outperform a slow single G5. Of course a Dual G5 would be the best. Is there a mind-boggling speed difference between the single G5 and the double? There will be in rendering. This is one process that REALLY uses both processors. Besides that, I think you would more likely see a mind-boggling performance increase in the dual. I can Compress my video and still work in Photoshop and hardly know it on a Dual G5. I could not do that on my iMac G5. You would know when processor intensive tasks were being performed. Finally, you break out of the all-in-constraint. Maybe you don't get the biggest screen now, but you can add one later (& CRTs are better for color & cheaper!), you can add a hard drive (highly recommended), more RAM, a PCI firewire card (which bypasses 99% of all the problems you read about) and so on. The next time you need to upgrade computers, the only thing you will need to upgrade is the computer. And a refurbished G5 isn't anymore than a new iMac. I should also add that the more RAM in any machine the better, but it won't make any difference in terms of rendering. Rendering is processor intensive. Period.
Mike

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