Do iPhone apps work on the itouch?
Yes. Yes they do. But apps with location services won't be able to find your location.
This is a matter of common opinion. To most people, the iPod Touch is an iPhone without the phone part (and you can't have at&t or Verizon service, so no personal hotspot). There is no difference between iPhone apps and iPod Touch apps, they are all apple. ----- iPhone 4 is better because you can use it as a phone or in multimedia(itouch). Check the review on the sources below ↓