First of all, thank you for a very logical analysis of the pros and cons.
There's the aforementioned 1/4-inch input that has lower self-noise than the 1/8-inch input. The DR-1 also includes a Li-Ion rechargeable battery (price about $35). The DR-1 has adjustable mic orientation (point forward when hand-held, point up when resting on a table). The DR-1 has several recording effects (reverb and so on) and an overdubbing mode, both of which might be of interest to musicians recording their own compositions. There is no windscreen included with the DR-1, and the tripod mount is an optional accessory. The DR-1 is available for about $200 from several sources.
In fact, the DR1 is available for $222.45 from Buy.com. As $200 +/- 10% is my budget for this purchase, it makes the choice difficult. The Li-Ion battery is a good choice if you have another one available, and that battery was not easy to find last time I looked. Maybe now it's different.
But I do need to buy a second SDHC card, probably 16Gb, so I need to include this expense within my budget. The internal effects are not useful for me and would never use them.
The mic orientation might be interesting though.
The DR-07 uses AA cells. You can substitute rechargeable AAs. Its mic position is fixed pointing forward. The DR-07 has a socket to mount a tripod, and a foam windscreen is included. The DR-07 lacks the recording effects found in the DR-1. It's slimmer and lighter than the DR-1, so it's easier to carry in a pocket. I see the DR-07 is available for $165
through Buy.com
http://www.buy.com/retail/product.asp?sku=210904588&listingid=41017685&dcaid=17902
A great price indeed! I already have rechargeable AA NimHs that I can use with it, and the mics pointing forward should be fine, as I thought they were pointing sideways. For serious recordings I will always use an external mixer, so the line input is the one I am more interested in.
The Tascam "tested media" list is available in PDF form here
http://www.tascam.com/i-3609-232-128-0-EFA3BCBB.pdf
Thanks. There are two 16Gb types listed there: a Sandisk and a Kingston. Any reason to pick one over the other?
I agree with others that the Olympus LS-10 or Edirol R-09HR (either about $300) will produce better results in most circumstances than the Zoom H2, Tascam DR-1 or Tascam DR-07. This is a case where you pay more, but you get more, too.
Maybe so, and recently the Edirol was my choice. But my budget is very limited this time. Also size and weight are a factor, as I plan to use the DR-07 as a backup when doing direct to video location audio. I can carry the Tascam in the Shure FP-33 pocket or even in the shoulder brace.