Depends really what Joystick combo you use, some older systems through a gameport don't work with XP. CH FX stick, Fighterstick and Speedkeys are examples as both sticks need programming in speedkeys which is incompatible with XP. There are others, XP seems suited better for the latest USB device joysticks.
You can of course dual boot with Windows 98SE and XP and use both. Win98SE needs to be installed first though. Old games are much better served through Windows 98SE plus it will even run old DOS games well with the right setup. A clean windows 98SE setup can be very stable as long as the registry is not cluttered with junk.