if u got component inputs on ur TV then use those. component video is better then S-video. component video > S Video > RGB
component video splits the video 3 ways, S video splits video 2 ways, and RGB is 1.
fo optimum sound, u need a reciever with a Dolby digital and DTS decoders and w/ at least 5.1 chanels, at least 6 speakers ( 2 front L and R, 1 front center, 2 rear L and R, and a powered subwoofer.)
the front L and R should be earlevel and the center should be as close to the tv as possible
use the optical digital output on ur PS2 and connect that to ur reciever's optical digital input.
don't get cheep ****ty small wires, get some nice monster cables (they make them for the PS2, and u just need a regular optical digital cable)
in the settings for the PS2 u'll need to select the YBC or what ever thing for video output (instead of RGB)