I’ll throw my 2 cents in on this topic, even if it is late.
Copying via a throughput on a DVD-Recorder robs you of editing capabilities and will compress that video into mpeg2 format.
I will list the options available and mention some of the positive and negatives on them.
#1: Buy a Digital8 Video camera or a player like the Sony GV-D200. It will play Video 8 and Hi-8 tapes and send them to your computer in DV via the firewire. Once you have a raw format saved, you will be able to modify it however you want and THEN compress it into the proper formats for DVD (Mpeg 2?). You can use these players to throughput analog input from a VCR as well, though you may have some color issues that can be corrected by editing software.
#2: A Video Capture Card (Internal or External). Several companies produce these products that will allow you to run your video through its inputs. The good ones have built-on hardware that will ensure your CPU isn’t overtaxed while performing the conversion. The upside to this way is that this device can often be used for other fun things. It will produce a fine copy (maybe TOO good if it fills up the hard drive with too many frames that are totally not needed). Many products come with software to edit the raw video and spit it out to another format.
#3: DVD-R device with throughput. It will copy on the fly so it will be as fast as your movie is, but editing capabilities will be limited to taking that DVD which has been compressed into mpeg2 for editing… you will be limited and quality will suffer.
My personal opinion is to totally go out and get a used Digital 8 camcorder or player like that Sony GV-D200… it is costly, but to convert video 8 and hi-8, it is the best. You can do what you want and chuck it onto eBay without much of a loss.