Ellen,
Almost any current Windows Computer or Laptop can handle video editing. Even units in the $800 price range.
Look for a brand name unit (Dell, Sony, HP), and when considering laptops, try the keyboard out at a local retailer. Also, unless you plan to add an external video monitor to the laptop, get one with the widest screen possible.
Make sure the computer has a firewire connection, a USB 2 port, a svhs out connection, 512meg ram, and 60 gig hard drive.
Look for Windows XP or Windows XP Pro, and expect to add an external firewire hard drive to hold your video editing projects.
Looking in Best Buy and Circuit City over the weekend, I saw several sub $1,000 laptops and Desktops that would be perfect for video editing.
Invest in Vegas editing software for widest compatibility and highest reliability.
I've used Vegas on laptops, desktops, and even ancient clunkers - and video editing using Vegas works reliably.
Bill Myers
http://www.bmyers.com