I'm a .30-06 addict, and personally I don't see any reason to step down to the 7mm-08. If you can handle the recoil (which really isn't that much, especially compared to the magnums), then you'll be better off with the .30-06, IMHO. It's a great all-around North American game cartridge. If you practice regularly and know your limitations, you can take anything from coyote up to grizzly bear.

In the short amount of time that I've been posting here, I've seen dozens of "what's the best caliber for x" questions. Basically, my philosophy is to shoot as powerful as cartridge as you can, comfortably. If you go too high up the ladder, you'll develop bad shooting habits or give up altogether. The key is to try different calibers and find out for yourself which is best. We can all make suggestions, but we can't pick the right caliber for you.