It is unlikely that you will improve the quality of the dv file by using a higher bit rate - I suspect the video will look the same but may be more fussy about what it plays on.
The earliest stages of production are the most important to maintain quality. Examining the technical rather than the artistic considerations of this the quality of the camera and how well the original footage is shot are THE most important factors in determining quality. You cannot get back, or invent information that didnt exist in the original.
If the original is from a DV camera then there is no point in rendering to a higher bit rate / res, the quality cannot be improved this way - but the file size can be increased.
So if you are using dv - capture in dv, edit on the dv files, render to dv. If you have a hdv camera, same thing but all hdv.
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