More RAM just means less use of the swap file (Virtual memory, page file what ever you wanna call it

), Windows xp Home/Pro can only address to 4Gb's (or 4096Mb's

) of physical/virtual memory as an absolute max.
So if you requirements exceed the use of 1 gig of RAM (Usaully CAD users), this means that you will have to use the swap file more which means using the vastly slower Hard Drive (Unless you use SCSI goodness

), if you had 4gigs of RAM you could just disable the paging file and thus cut out the HDD as the bottle neck, but would you ever use more than 2 or 4Gigs of RAM, this is the question.
It all boils down to your needs, if your general use of your PC exceeds 1Gb of RAM storage for the amount of programs that you are running, and you can see slow downs and alot of HDD action, well in that case YES.. if you dont see any lag with what programs you use then NO .. if you love BF2 and hate the choppy game play at the start of the game and the map load times, then it is a HELL YES captain
If you are into Overclocking your RAM, the (2x1Gb) RAM modules at the moment are not that well developed, and do not overclock as well as the 2x512Mb modules currently available.. but soon when they are a necessity for everyday use, they will be better developed by the various manufacturers.