Blu-ray!

Well, it took a while, but the Carlson household has finally entered the Blu-ray era!

I've heard the stories about the noticeably better quality of blu-ray films on a blu-ray player, but I never had the extra couple hundred bucks laying around to take the plunge. But thanks to a sweet deal, my wife showed up with one on New Year's Eve, along with copies of "Toy Story 3" and the 3-disc collector's edition of "Avatar." I figure "Inception" is my next blu-ray purchase.

So far, I haven't even hooked the player up yet, but I'm looking forward to it. But I'd love to hear from you.
Given the higher price of blu-ray discs, how often do you, if you are a blu-ray user, purchase them?
Do you still purchase some movies or TV shows on regular DVD even though you own a blu-ray, and if so, how do you decide which format to buy?
Do regular DVDs look better on a blu-ray player than they would on a normal DVD player, like I've heard they do?
Which blu-ray discs are worth the purchase? What belongs in my library?

I'd love to hear from you!
KC