If P&S produced images like a DLSR than they would also cost $3500.00.
That said, on a nice bright day a P&S will take an image at the same focal length as the lens mounted on the DSLR and look every bit as good at 4X6 or 5X7 as the DSLR. What you pay for in the DSLR is the ability to work in enviorments that would produce total noise in a P&S, plus the ability to throw the backgrounds out of focus (bokaw), change the FOV, the DOF, the focusing speed, the tracking ability of the AF, - plus,plus,plus, etc.
I also carry an SD800 on my belt, to complement my Canon 5D.