Use the function you have presently, but change the & to &
if (arg == "ampersand") {document.title = "this & that";}
What bradgrafelman wrote in his first post, but as a code example:
<script type="text/javascript">
function showChar(htmlChar) {
var javascriptChar = '&';
alert('html character: ' + htmlChar +"\njs character" + javascriptChar);
}
</script>
<input type="button" onclick="showChar('&');" value="Showing 2 &s"/>
output
html character: &
js character: &