The update is nice, don't get me wrong.
I love my bright screen and my slightly faster processor, but I'm not going to lie, you don't need it for what you'll be doing. Take the extra 200 and buy yourself a new nano.
The macbooks didn't get new screens. The SR macbook should have the same screen as the C2D macbook.
As for the OP's situation, I'm going to be the one dissenter I guess

However, my dissent is based on a few important questions:
1. How long do you want to keep the macbook?
2. Are you cash strapped?
If you intend the macbook to last for more than 2 years, then at some point, RAM will become a problem. I'm sure that your current computer usage will not remain stagnant. You will discover new programs, new interests will develop, etc. Unless you're retired and really don't do anything but email pictures of your grand kids to everyone at the home, your computer has to be ready to evolve with you. For those reasons, a C2D macbook wouldn't be the best idea right now. Since the RAM limit is 3.3GB, you might find a few years that the computer can't handle certain programs as well. With an SR macbook, the limit is superficially 4GB, but that is largely believed to be a limit imposed by the current lack of larger RAM sticks.
Furthermore, the other minor gains like a cooler running machine, a machine with better ventilation in the back, the .1 lb weight loss (hey, it's important to some

), and satisfaction of having a new computer might be worth your while.
Which brings me to my question about cash. If you have the money, but are simply looking to save a few bucks because you think you'll be ok, I suggest you don't carry on with that line of reasoning. Unless you know that the macbook will be sold by next year, plan on having as recent hardware as possible.
Finally, suppose you wait a little longer and snag a refurb SR macbook in a few weeks? That would let you have your cake and eat it too

