HAHAHAHA OMG dude!
Okay, lets think about this a bit.
1st... MS themselves (arguably some of the most ingenious programmers) had a hell of a time getting the 360 to emulate the xbox. Why is this? Because of the outrageously different architecture. And you know what else, they had to do it game specific. They dont have a handy program that runs all xbox games, or all would be BC.
2nd... A general rule of thumb (that i have read) is that a system must be 4 times as powerful as what it's trying to emulate.
3rd... Even if you could emulate 512 mb ram using the xbox hard drive (which would be INCREDIBLY too slow), there is no chance in hell the xbox could emulate a 3 core 3.2 ghz cpu and a gpu that is nearly twice as fast.
4th... As mentioned before they are entirely different architecture, so although there might be a game out for both the xbox and the xbox 360, they are compiled differently to run on completely different hardware. This is why they have development kits specific to each system.
This is simply not possible. If you want to play king kong on your xbox, get the xbox version. Same goes for any cross platform game.
Good night, and good riddance.
Shane