Like I need another excuse to suck at BF3 and MW3, now I am moving from a 62 inch TV to my little 27 inch CRT that is in my family room while I remodel my basement.
If you guys see me online, try and be a bit sympathetic.

I don't think I'll ever go back to gaming on a tv after moving my 360 to my desk with my pc monitors. I've tried but I can't play shooters and racing games from over a few feet away. LOL The picture is very good, and you get a better perspective and hand/eye coordination for those types of games. Try that, you may like it.

I guess that begs the question: Can I port over the video coming out of the Xbox over to my laptop. It might be smaller, but at least the resolution is better.

You would need to have an HDMI input. It surely has a VGA or HDMI output, some will also have an HDMI input. You'd have sound that way too without having to use an adapter.

I have an HDMI port on my computer. I figure that was an output not an input. Does it work both ways?

I wouldn't think so.