It really depends on what you normally do with your computer and how often you reboot. If you normally only run one or two apps at a time, closing them as you finish, you can get by with it.
Windows, like most modern operating systems, cache files up in memory in order to try to speed operations up. The more you run and the more files you open and close, the more Windows tries to help you by caching files in memory.
For example, the laptops we use at work are used for sales demonstrations. They have Oracle running, IIS running, BEA's Weblogic App server running and a couple of our Applications. Even with 1GB of ram, they need at least a 2GB static paging file or things grind to a halt and something will crash. Again, it all depends on what you will be doing on the machine. You can always try it and put the paging file back if you have problems.
If you do end up using a paging file, always make it a static size that is somewhere between 1X to 2X the size of your ram after you fully defrag your hard drive partition where it will reside. This will make sure the file is contiguous, therefore it will access faster, plus a static sized file will eliminate the constant thrashing of the disk as Windows sizes the paging file up and down, depending on what is going on. Just changing the paging file to a static size sometimes will speed things up.