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The new Forza is really good. But it's more of a sim so there is no over the top action if that's what you are looking for.
But of all the racing games I think it feels the most "real" meaning the cars actually feel like they have weight and grip.
But some of the best racing action by far.
For a fun arcade style racer with amazing graphics, Dirt 2 is the best.
Both have Demos on XBox Live so check them out.
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