The way you word the question certainly makes it seem as if your mind is made up - you want an HD camcorder.
Personally, what we carry is dictated by our post-vacation behavior; We have learned, after two decades of vacations, that we treasure a good still photo and rarely watch videos. It's not that we don't like videos, it's just not common for us to think on a slow night; "hey, lets find those movies from our trip to Yellowstone in '97". But we have a nice computer that has all of our photos, displayed on a rotating basis, as the desktop. Every day is a new photo and almost every day is a brief, pleasant, "Awwww, I remember that!....." We do take a few video clips and they are nice to see once in a while, but it's not a big deal for us.
I used to take these slow motion panoramic videos whenever we got to a viewpoint on vacation, thinking "this will be great to relive years from now". When I watch those jittery shots now, all I think is "I could have swore it was more interesting & attractive when I was there" and "too slow...speed it up, please..." But I still love the photos.
So for us, a good digital camera that fits in my pocket and also takes passable video, is our preference. Taking the opposite approach and getting a camcorder that takes just passable still photos would be awful. I can make an ordinary photo look great by heavily cropping it and touching it up, and you can't do that and still get a good still photo with 1, 2, or 3 megapixel stills.
So just ask yourself what you see yourself doing most after vacation - having stills on the computer, in a digital frame, or prints....or watching videos. And then ask yourself if you really want to carry two devices and their batteries and chargers or of one compromise device will work best.
Everyone had different preferences.