Nug of the Month: August 2013, June 2014 - Member of the Month: Oct 2013
Nothing horrible would happen if you followed a god watering schedule and let the pot go completly dry sometimes. They would be small short beautiful buds.
The bigger the pot, the bigger the POT.
Now, there could be some bad things, but they could happen in any pot. Root rot. Root bound (personally I think this is very rare) and a few other things. But you can absolutely grow nice buds in small containes. Scarfinger grew 3-24g+ plants in 24oz' of soil i believe.