1 - Screw vista...Format your stick to Fat32 - It's Fat16 that has a 2gig limit.
2 - No comment...I don't emulate on my PC.
3 - PSP parts are cheap - A new wifi board will run you ~$10-15, far less than the time will be worth to a coder who'd kludge together something that'll barely work.
4 -
Homemade PSP VGA/TV adaptor - LAN.ST - Probably waaayyy over your head though.
5 - Good idea, and most likely doable...802.11b is painfully slow though if it's not on a rock-solid connection.
6 - already addressed...