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You could also try looking at the old video somebody made of Final Fantasy X and how it looked before the PS3 did any upscaling and then ask that same question.

As far as I know, the bad jaggies from that video were an issue with the early PS3 firmware. The problem was corrected a couple months later, and upscaling/smoothing were added a couple months after that. So you should compare the upscaling effects with more recent footage.