Is it possible to image a larger hard drive onto a smaller SSD drive?

I can see how it should be relatively easy to copy a smaller drive onto a larger one, but how about the reverse?

In my case, I have a relatively new computer with a 1TB hard drive, so it doesn’t have that much on it yet, about 50 or 60 GB. The tower has room for a second drive, and I would like to get a 250GB SSD. Next, I would like to “image” the original hard drive onto the SSD, so that the OS (Windows 7) will be on it, and make it the c: drive.

Have any of you techie jellies done anything like this successfully? Is there software (maybe Norton Ghost??) that will let you do this? What are the pitfalls? How do I get the machine to boot up from the new SSD?

Any help would be greatly appreciated!