On my digital camera I noticed a performance decrease when I used a larger card; will this happen with the Raspberry Pi too?
What's the maximum sized SD card it can handle?
I see there is comprehensive list available from this question.
See this link for a list of compatible cards:
This is a driver issue, and hopefully it should be fixed soon. My advice is to check the list before deciding on what to buy.
Updated link: http://elinux.org/RPi_SD_cards
Performance shouldn't decrease with larger cards (I'd say the same of your camera, perhaps it's more an issue with too many files/directories - some devices don't handle that well).
The Raspberry Pi supports SDHC cards, which can have capacities up to 32GB.
This won't really happen on the pi unless you put loads of stuff on there.
SD cards come in 5 speed classes
I think you will need a class 4 SDHC at minimum and a 64GB UHS-1 SDHC at the maximum, as SDHC is the only type the pi supports I think. Feel free to try on SDXC cards.
SD cards also come in storage types.
SD: 512MB to 4GB
SDHC: 4GB to 32GB << recommended
SDXC: 32GB to 2TB
So at the end of this, no it will not.