What would be the point of that? You can already play the DVD on a DVD-ROM drive to watch on a projector. You certainly will not gain quality by going to a higher resolution than 720x480. You can never gain quality by going to a higher resolution than the source; in fact, you will never gain quality over the source (in this case, 528x480 laserdisc); period. The fact that LD is an analog video stream that will always suffer loss just getting to its destination; added to the encoding to MPEG-2 or MPEG-4; guarantees a loss here. Increasing the resolution over the source only magnifies this loss (much like zooming in on the source itself would make it look worse because there is not enough information there for a higher resolution than it is intended for). It is in the acceptable range to increase the resolution of LD material to DVD standards but that is already pushing it; to saying nothing about trying to go even bigger. It would be little different than playing the DVD in Media Player Classic and zooming it to a higher resolution on the fly.

One more thing; MPEG-4 would be saturated for a 2 hour movie at something under 3 GB; probably around 2.5 GB, so a 4.3 GB MPEG-4 file (XviD/DivX/WMV/MOV/ect) for Star Wars is not likely even if you tried nor would it be of any benefit if you succeeded.