Well, a CRT generally can't tell the difference. The digital resolution going out of the Mister's HDMI might be 2048 wide, but once its analog a CRT just sees a rate of change for the analog signal and follows it as long as it can keep up with the sync side. An LCD monitor looking at analog has to guess a resolution and sample it so maybe that's more complicated, but I'm more likely to think the HDMI converter itself doesn't know what to do with 2048x240p and gives up, so nothing even comes out of its analog out. Its a bit of a crapshoot which converters work and don't for direct video these days.
Anyway if you don't want to use native resolution (video_mode=1280,1024,60,cvt), you might as well try the direct_video scandoubled. Its not like your LCD monitor is drawing scanlines or something. (Or is it?)