It can potentially improve it to the point where you will see no difference to the original laserdiscs. Effectively if you made a dual layer version of just the movie and just the original PCM audio track, then the images will be compressed by less than half what they are on the current bootlegs. This translates into much better detail rendition, less blockiness in fast moving/panning scenes, less noise in the images etc.
You can see the problems in the current bootlegs in scenes like when luke opens the X-wing cockpit in jedi, look at the detail in the xwing it is lost in the mpeg blocking.
The images also need a slight colour correction as the colour rendition on the laserdisc set is a little off.