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I have VS 10 and 11 so I’m not sure if this applies to 8 but in the capture process you have to be specific about what you are capturing. In VS 11 you have to specify the device in one drill down and the mode (DV, MPEG, etc.) in another.
One way to make sure you have video to begin with is to capture using your program and then exit, find the captured video file and see if it plays in Windows Media Player. If it doesn’t, you probably don’t have video, if it does play video, you have something to tweak in VS8, like a patch or some sort of codec update. Check the Corel site.