According to everything I read, the entire 127.x.x.x subnet should loopback.
However, on my Mac, I can only ping 127.0.0.1
I know I've done this before (though possibly on another OS) and has come in very useful for developing multiple SSL sites locally and for tunneling remote services for access on a local IP (for example I could ssh into my MySQL server, and just port forward the standard port to the same port on my local machine but on 127.0.0.2 while my local server ran at 127.0.0.1.