1. Maybe. I doubt it will be a problem though, because the extra sharpness will compensate for the smaller size. My experience is that q higher quality display tends to be readable in spite of sizes being smaller than the crappy, low-contrast screens on most laptops.
2. The display circuitry required to drive a larger screen may or may not generate a little more heat. The display itself will draw a little more power, but the main power hog (and heat source) will be the backlight. Again, a quality screen is much more tolerable at low brightness levels so it might not be an issue either way.