We submitted on Monday with a simple photo booth video made in a cafe. It was just of us talking about the project and ourselves. Took us about 20 minutes from start to finish - may as well do it!
Yup, Photo Booth is great. +1 to using it to make the YC app video. And +1 to adlibbing, as well. As an ex-improviser (think Whose Line?), scripts just seem wrong ;)
+1 to all of that as well! We spent about 3 hours just recording a lot and saying different stuff until it worked. As a result, our final video was a bit hyperactive and a lot lame, but we managed to actually convey information without sounding like zombies.