Silk purses from sow's ears

Question

When I first bought my eMac, I thought, finally I'll be able to make my little amateur films, and even be a bit ambitious with them. I can make films that don't look like third generation copies of an old VHS video tape which has been copied from VCR to VCR. This new technology promises me "full dv quality", wow! I thought my movies would look as smooth and clean, (video image-wise), as any DVD that I'd rented from a Blockbuster store.
Pretty naiive, huh?
I've found that it just ain't so. Even using a pretty good Sony video-8 camera, and filming under the best possible conditions, movies made and edited on a Mac and then burned to a DVD disk still don't come anywhere near the quality of a commercial DVD. They still LOOK amateur. Thin colour, bleeding colour, white edges on everything, broad=area pixilation, and that too-sharp "electronic" look. They never have the smooth fine-grained film-look that commercial DVDs have.
Now, you might say, Well, what did you expect?! Those commercial DVDs are made on equipment that costs a squillion dollars! And you'd be absolutely right, of course.
But I wonder when the general public is going to have access to the "real deal", without paying a million dollars for it?
I tried an experiment with my Sony camera. I hooked it up direct to my Mac, (through a converter), switched it on, and hit "Import" Everything that the camera saw, went into the Mac direct without 'benefit' of tape. Even under those conditions, the result still looked like "too-sharp video". It still contained those electronic artifacts of video; the pixelly sharpness, the bright spots, the high contrast.
So, is this the best we can expect in home video? Will the day ever come when we can make a home video that really looks as smooth and real as the old emulsion film did?

Answer 1

Thanks to everyone who has responded. Some very interesting points made!
I guess the bottom line is, I should be glad to have what I've got, considering that, thirty years ago, I was still using an old Super8 movie camera. And splicing scenes together with glue!!
Karsten's point about black and white sometimes being his "colour of choice" was a very good one. And what others said about a good film being possible even on amateur equipment, applies particularly to black and white, I think. In fact, I think shooting in black and white has several advantages.
For one, there is no "colour bleed", and there is no colour saturation problem, either. Monochrome films that happen to look very dark or very light can be called are "artistic". It is an advantage.
Also, if you slghtly blur a black and white image, it can look a lot better than a blurred colour image, because blurring tends to make colours bleed.
And finally, all the great classics were black and white movies!! At least, that's my opinion. :)
Anyway, as you've all suggested, it's better to concentrate on making better stories than making better pixels!
Cheers.
Thanks, all.