Yes... I'm replacing a dead internal hard drive with the backup drive.
You should be able to restore from the backup drive to the internal drive as well but I've not had a reason to work that way. I usually backup to an appropriate type of drive that it could be simply installed into the computer as a replacement drive. Even when you're talking about dismantling a Powerbook to do so it's usually a much faster process than waiting for a full verified restore from your backup drive to happen.
Thanks for all your help. I'm posting this for people who may be using different types of external drives.
I finally got a reply from Econ Technologies about this. Their approach, which takes longer than yours, works if the drive technologies are not the same. I don't know why I didn't figure this out on my own, but you just sync from the external bootable drive to the new or reformatted internal drive.
Here are their instructions:
To restore the internal drive from the bootable backup do the following:
1. Boot your mac from the bootable backup volume.
2. Format/erase the internal/replaced startup volume.
3. Launch CS and create a new bootable backup sync document, syncing from the
backup boot volume to the new internal/replaced startup volume. Follow our tip at:http://www.econtechnologies.com/pages/cs/chrono_tips14.html
This new sync document will restore the backup volume to the new internal startup volume. When complete, change your startup disk to the internal volume and boot. All should be back to normal.