no, you only need xbox live if you want to play online
It depends. Some Xbox games need some sort of connection or something but some Xbox games can be played on Xbox360 but you dont get achievements.
Yes.
yes it can
Nope, Xbox360 games bought in the US will not work on an EU system.
You need a internet connection on your Xbox to download games on the marketplace. You could use ethernet but you can also use wifi (wireless).
Yes
A Xbox360 is a console, the second after the first Xbox. You play Xbox360 games on it and I think you can download or buy a thing so you can play your Xbox games on it to.
yes you can but only if you have a hard drive
Try one of the Settlers games?
HELLLLLLLLLZZZZZZZZZZZZZZZ NO! A PS2 is much cheaper than an Xbox360, but other than that, an Xbox360 is probably better. xbox360 has better games
yes xbox games work on xbox360 if you have the hard drive but some of them dont work.
yea all xbox games are compatible with xbox360