When I purchased my laptop a couple of years ago and set up my wireless network I purchased a 802.11g 54Mbps router. The connection works fine if I'm in the same room or 1 room away but if i go in my living room, 2 rooms away, the signal strength goes down about 50% and the connection continuously cuts out. If I upgraded to a 802.11g 108Mbps router would that fix the problem and would I also have to upgrade my laptop's wireless card to 108Mbps?

The only way to boost the signal is to buy a Range Extender or scrap WiFi and use PowerLine HomePlugs.

your problem is entirely dependent on the thickness of the walls in your house. Can you place the router more centrally? *D* nosey aren't ya, readin me sig?

Know where I can get an inexpensive Range Extender?

Depends where you live, Costa Rica, Outer Mongolia or maybe the Moon ?

Range Extenders or Wireless Access points are what you need. John Carr Network Analyst