A lot of home theater receivers allow you to switch between different video sources, just as you can switch to different audio sources. You run the video output of your DVD player, VCR, cable box, whatever to the receiver, then a single video cable from your receiver to your TV.
Other than the kind of coaxial cable that cable TV uses, there are three other types of video cable: composite (the familiar yellow video cable used by most VCRs), S-video (higher-quality four-pin video connector used by DVD and Super VHC VCRs) and component (highest quality interconnect that uses three cables to carry the red, green and blue components of the signal, used by some DVD players).
A receiver that has component video switching will allow you to use the highest-quality component-type video connector. Be aware that your TV may not have component inputs, and your DVD player may not have component outputs, so this may not do you any good.
In the UK and europe we use SCART, which is basically component video in one nuggety plug (plus audio). you can purchase cables with a scart at one end and component on the other, meaning that you can use switching on UK TV's by plugging in the SCART end to your TV and the component end to the receiver. UK DVD players have scart sockets so component/scart cables works for that to. VOILA! I think QED do them in the UK
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Panasonic TX-21M2T TV
Sony DVP 536
Old Panasonic Stereo!