Interesting post, KLR. Firstly, upconverting just ain't the same thing as having the native resolution. Of course, how well anything is mastered is even more important, perhaps.
By using tRiXtA's graph, for instance, I know that I am past the full benefit of 1080p, and by quickly extrapolating, Im pretty sure I'm even past the full benefit of 1440p!
It's still the most ridiculously incredible pic anyone I know has ever personally seen. I've been in a few PJ setups at AV stores, and even those don't come close, in the slightest. I believe it must be directly tied in to the amount of light control I have, as well as the simple fact that projectors have made insane strides in the last two years, coupled with falling costs. It must be said that the only two sources hooked up are both natively HD, being Bluray and HD-DVD.
IOW, I'm not watching to count how many hairs there are on a fur jacket. I'm in it for the movie experience. The best part is that it blows the movie theater away!!!
I'd try a bluray player with a decent transfer. THEN try it at 7 ft, or even closer than that. Totally different experience.
Is your display a 2000, 2020, 3000, XBR2?