It's important when talking about FPS to realize that your maximum frame rate is not really very important. Far more important is your minimum frame rate. When we say we want more FPS, what we really mean is we want more FPS at the bottom of the range. It's no good to have a system which draws games at 100 FPS when you are cruising around, but when you get into heavy combat, it plunges to 30 FPS.
The human eye can easily detect the flicker of a 60Hz refresh rate, and any time your video card produces less than 60 FPS if becomes obviously jerky. At rates above 60 FPS the situation changes: if your PC is delivering 60 FPS or more then your eye is fully fooled into believing non-flickering motion.
Many people believe that frame rates above 60 per second are a waste of time and money as the eye can't detect all those extra frames. However, when frame rates climb into the triple digits the human eye can detect differences in quality, not quantity. Ultimately, only you can decide how many FPS is enough...
Frames Per Second are important because each "frame" drawn on your screen is a rock solid, stand-alone image - fully detailed, with no "motion blur". You can confirm this by taking a screen shot when things on the screen are going fast. Television can survive on 30 fps because each image on a TV screen is blurry.