First off, many thanks to Joe Besko, he was able to get me moving in the right direction.

The folder structure again:
Inbox
 -PSY
  -subfolder of PSY
  -subfolder 2 of PSY

Where the error occurred when looking at PSY.  Apparently, the issue was that outlook was not subscribed to the folder in question.  Joe was able to tell me that it was not listed as being subscribed to, even though when I looked in outlook, it indeed showed that it was subscribed.

Tried a couple of things, but finally this is what ended up working:  In outlook, went to the subscribed folders section, and unsubscribed from PSY and all of it's subfolders.  Hit OK in that dialog box (I tried doing this just by hitting apply, and it did *not* solve the problem, ok required), so the folder properly disappears from outlook.  Then went back into the dialog to subscribe to folders, selected PSY and all of its subfolders, and chose subscribe, then hit ok again.  I then went and did this for any of the other folders that were having issues, and they now all appear to work.

One thing to note: unsubscribing and resubscribing to just the PSY folder did not seem to solve the problem, I really did have to remove all the subfolders and redo them.

So it looks like there's some issue where outlook just doesn't subscribe to random folders when you first set it up.  This is kinda supported by when you look at the list of folders in the subscribe dialog, only about 80% of the folders seem to get picked up initially by outlook in the first place.  Not entirely sure why it automatically gets some of them and doesn't others, but I'm guessing that what happened in this case was that the root folder was one of the ones it just randomly didn't subscribe to for some reason.

Thanks,
Gary