So you say Best Buy has an encoder 

.  I'll have to check that out. Edit:  You got a link?  Couldn't find it on their site.
I already have component cables for my ps2.  Granted I don't think my TV  supports the higher resolution but yet I have the inputs.  Go figure 

Do you know if games that do not support progressive resolution will still be viewable with such a device?  The games I want to play are Soul Calibur 2, Virtua Fighter 4 :Evo, Tekken TT, 4, 5, And Street Fighter Anny (SF3)  I'd just use a dreamcast but my controls are for cube and ps2 and an DC adapter won't work with my button layout.
-G