Windows:
VLCPortable.exe -Idummy --dummy-quiet --no-video-deco --no-embedded-video --width 240 --height 180 --video-x 0 --video-y 0 --video-on-top dshow:// :dshow-vdev="Microsoft LifeCam" :dshow-adev=none
Linux:
cvlc --no-video-deco --no-embedded-video --width 240 --height 180 --video-x 0 --video-y 0 --video-on-top dshow:// :dshow-vdev="Microsoft LifeCam" :dshow-adev=none
Options:
--widthand--heightrepresents the resolution of your webcam--video-xand--video-yrepresents your overlay position:dshow-vdevis the name of your webcam
If you double click on the overlay window, vlc change to fullscreen mode
What it looks like:

If you wanna use this under a Windows system in a batch file and change the resolution before, in case you wanna stream and don’t need some high resolution, you might just wann take a look at this nice little tool:
setres
It allows you to change the resolution on your pc on the commandline.