Depending on the type of webcam, images captured on it are only going to have so much resolution. They're also going to have a certain amount of graininess to them, which can be filtered out in photoshop. As for image quality, it's going to go down when you re-size it. You'll probably want to adjust the image quality for your webcam, which is accessible through the options button. Most cam programs have one, it's just a matter of finding it.
I like the effects I'm getting....
I just can't get my cam to work with SG...
the snap shots I get with the cam are very very cool....
xo