Hi Tosh,
Pinnacle Studio 8 is good enough for editing recordings. LG writers are fair enough but I suspect at the price quoted it will be a 4 speed drive. It might be better though spending a couple of pounds more and get an 8 speed unit.
I have Nero 6 and it does normal DVD's very well. I use it and it gives me DVD's that I can play back on the DVD attached to the telly.
I have an analogue camcorder and connect it to my computer via a Pinnacle linx usb connector and it works very well.
I use Studio 8 to edit the recording, apply the effects etc then save to the hard disc before using Nero to write to the DVD.
You will need a reasonable spec on your computer Pentium or AMD 2000 or upwards, as rendering takes a good deal of processing power. If you have a slower processor this will take longer to other carry out before the writing process begins.
Other than that its relatively easy.