Will "setup as new iPhone" erase my apps

I seem to be having the same problem that everyone else is with my phone locking up and getting stuck on the Apple screen. I'm using the latest 2.0.2 software. I've restored it 3 times now and I'm sick of just restoring it and having it crash again. I've heard that setting it up as a new iPhone and erasing my backup will solve my problem. I was just wondering, as long as I have my apps stored in my iTunes library, can I easily sync them back onto my iPhone? I was pretty sure the apps worked the same as music and you can just easily pull them back onto your device, but I wanted to make sure before I wiped my phone.
Any help would be much appreciated.

Yes. So long as the apps are in your library you can resync them just like music. You can also redownload them from the App store on the phone free of charge.
Keep in mind, though, that app data is not transfered at sync; it is stored in the iPhone back up file. By restoring as a new phone you will lose your app data.

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