have you thought about something like a Flip Video camera? very easy to use, small and pocketable, and fairly inexpensive.
for me, and my wife, pulling out the flip is much quicker, than pulling out the camcorder, that's stuck in the bag. The flip is really easy to use to get those quick baby daughter moments. we used it when we went to disney, and the thing travels well, and shows great video. there's a kodak playsport that is also waterproof (for using in the pool, and other shallows), that would be my next camera.
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