Don,
First off let me say I agree with Don and Jack that if you are looking to extract maximum detail and richness from the files and give yourself loads more control that raw is absolutely the way to go. I'll show you an example below that I think clearly shows this.
Below you'll find the shots that show the range of options we discussed.
I also threw in a shot at 200 + 1.4TC on the T1i just to see how the 70-200mm F/4 IS handles that case. The lens handled the full gamut exceptionally well even on the extreme example with the TC on the T1i. The T1i if expanded to full frame would be a 40 Mpix sensor - add the 1.4 TC on top of that and the lens is resolving at a level of an 80 Mpix full frame sensor which is pretty amazing.
Regarding the 5D Mark II with TC vs the T1i without, I'd say they are a dead heat as coincidentally the pixel density pretty much matches and I'm not seeing a heck of a lot of degradation when using the TC on the 5D.
The files were shot using Raw+JPG large fine on both cameras using the Canon Standard setting for the picture style with white balance set to daylight.
Finally, just to give you a taste of the difference between the in camera raw files and the standard jpgs out of the camera I've included a crop of the 5D+TC shot converted in Raw Developer. I think you'll agree it's creating a much more detailed shot with significantly more clarity and depth.
A zip file of the jpgs for the various combination's shot at F/4 to F/8 has been uploaded to:
http://www.mediafire.com/file/mvminmnlzq5/70-200jpg.zip
I also uploaded a subset of the RAW files (the ones shot at F/5.6):
http://www.mediafire.com/file/tygzfoiywng/70-200raw.zip
Finally, here is a link to the full file converted in Raw Developer. Compare this to IMG_1490.JPG in the jpg zip to see the full impact of the difference.
1490 developed in Raw Developer
Ok, now an overview of the scene I shot:
Now the T1i in-camera jpeg at 200mm F/5.6:
T1i in-camera jpeg at 200mm F/5.6 + 1.4TC:
5D Mk II in-camera jpeg at 200mm F/5.6:
5D Mk II in-camera jpeg at 200mm F/5.6 + 1.4TC:
Same as immediately above, but 5D Mk II raw file converted with Raw Developer:
Take a close look at that branch near the lower left corner and compare the textures in the raw vs the much mushier jpg. I think you'll agree that there is more than a bit of difference in the above raw shot vs the camera jpg and in my experience the difference will definitely show up in prints, even small ones.
Thanks,
Greg