Do you have a digital camcorder with analogue input?
If you've got the time and energy, you can capture VHS video through a camcorder into Movie, then edit/burn to DVD in your Mac.
It's a cheap option if you've already got the gear - but time consuming. The easier option is to do what Tallest Skil suggests - and you can always eBay the machine once you're done with all your videos.
This is a very good converter and quite cheap if you don't need all the thrills converter
Here is an excellent page with all the ins and outs of transfer Video to DVD it's a little biased to using their services but I did glean a lot of information about DIY transfer of videos.
Yeah, the downside is that for every minute of video, you have a minute of recording. Really makes you appreciate the digital gadgets we have these days, huh?
Indeed it does, when your editing too you end up watching the same thing again to make sure you cut out the damaged bits. For some reason some of the frames got frozen so i had to watch for them it would look stupid on a tv screen if the movie paused