I will look further into an external library, and various ways of down rezing outside of iPhoto - I was hoping some app could reduce the resolution within iPhoto. Oh well.
My mother really wants the best of all worlds and won't take no for an answer... though she may have to.
She has a very nice new camera, and in the past has occasionally blown up her shots to A2 size or larger - but for most she needs A5 size at best. She wants the quality taken on her camera and then downgrade after. And, unfortunately, she's on a laptop and she wants access to her photo library from several locations (including when she's got no internet connection).
Ideally, she'd use an external huge photo library, and "sync" a subset to her laptop, in a similar manner to syncing subsets to the iPod or iPhone (ie: only some libraries, and a smaller resolution). Pity Apple doesn't offer that, though I have hopes for this in future (ie a media centre or similar, with laptops syncing a subset of data).
Thanks both.