No. Even a 5400 rpm 2.5" internal drive (made in the last year or two) will be faster than any FW800 drive. With that said, it certainly wouldn't be intolerable. I used to run my old Mini from a 3.5" FW400/500 gb/7200 rpm drive.
Depends. Maybe for large sequential files on the fastest 5400rpm drive when the drive is empty.
But even the fastest 7200rpm 2.5" drive are not fast enough for small read / write
to use the firewire 800 speed.