Is there a huge difference between the TB and the regular besides the TB, hd cam? I know the new one comes with ethernet port and firewire but how would that help me on the air?
Both displays essentially function as docking stations when connected to a computer. So for the ACD (non-Thunderbolt), you would have to plug in a USB and video cable to the Air, but you'd get the display, USB, speakers and FaceTime camera. With the Thunderbolt display, you'd only have to plug in the display cable and you'd be able to take advantage of all of the connections, including the Firewire and Gigabit ethernet.
The non-technical answer is that the display acts as a "converter" so that those connections, while not present on the host machine (the Air) will still work. The slightly more technical answer is that Thunderbolt (the specification) is based of of PCI-e. Anything like a Gigabit Ethernet, Firewire, eSATA, Audio I/O, Graphics card or many other things can be made to work with Thunderbolt because they are also available as internal expansion cards (that connect using PCI-e). Like I said, it's only slightly more technical because I'm tired.
The daisy chaining only comes in handy when having two TB displays right?
The Air is incapable of driving two external displays because of the weak graphics card. It can drive 2 displays, but only one external. The 13" MBP and the Mac Mini share this limitation. I'm not sure about the 21" iMac, but all other Thunderbolt equipped machines can drive 2 displays. (The current MacPro lacks Thunderbolt).
However, that doesn't stop you from connecting additional Thunderbolt accessories, like upcoming Thunderbolt hard drives, or something else that we haven't seen yet. Be warned though, that too many high speed devices may become a bottleneck (like connecting too many high-speed hard drives to the display and trying to run the gigabit ethernet, FaceTime camera and speakers all at one time).
Quality and resolution on both are are the same right?
Yes, both the ACD and Thunderbolt Display use the same panel and should give the same picture quality and resolution.
Do I have to have my air screen up and on to use it or can I have the lip closed?
Either one will work.
Will it show the display on both?
Yes. You can use just the single external display, or choose Mirror mode (same pic on both displays) or Extended mode (dual desktops)
OMG I'm getting so excited to see the fast SSD and power of this air working on a 27"
That's not really a question.
I saw a few older models 27" online for like 700, I think thats worth it right? or should i wait for a better price? whats a steal of a deal on one of these?
Well, the refurbished 27" display is currently selling for $849 on Apple's site, and it comes with a 1-year warranty. So in that respect, $700 seems pretty good. However, the new Thunderbolt displays are just starting to ship out, so unless you are really wanting a new 27" TBD, I'd consider adopting a "wait-and-see" approach to see how the used market responds.