how do you turn on upscaling on the ps3?

Correct.

VGA will also upscale, but since there's no easy way of using VGA with the PS3, HDMI is pretty much the only option if you want to upscale.
 
I had the option of "Normal", "Double" and I think "Full".
I selected "Full" as I just assumed the higher the setting the better.
I've not watched a DVD yet - is this not the best setting to use?
 
I had the option of "Normal", "Double" and I think "Full".
I selected "Full" as I just assumed the higher the setting the better.
I've not watched a DVD yet - is this not the best setting to use?
I think normal is the only setting that does a straight upscale, the other settings stretch the picture in some way.

EDIT

DVD Upscaler
Adjust settings for upscaled output when playing a DVD. Upscaling is a feature that can be used to enable content recorded at SD resolution (NTSC: 480p / 480i, PAL: 576p / 576i) to be displayed in HD resolution (1080p / 1080i / 720p). Because the video content of commercial DVDs is recorded in SD resolution, higher resolution video can be achieved by enabling upscaled output.

Off-Set to disable upscaled output.
Double Scale-* Set to upscale and display with double horizontal and vertical dimensions without changing the proportions.
Normal-Set to upscale and display at a size that matches the screen size.
Full Screen-Set to upscale and display at full screen by changing proportions and stretching the image

* This option can be used only when the video output setting of the PS3™ system is set to 1080p or 1080i.
 
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