Final Cut Express Output Question

Hello...
I've just started working with Final Cut Express 4. I imported my DV 4:3 ratio footage using the DV-NTSC setup. I put together some basic material and wanted to test the output quality. I exported as a Quicktime Video. This gave me a resolution or 720 x 480. When played in Quicktime at the actual size the video is very crisp. However, when I increase the size of the playback window the video quality decreases and just looks horrible.
Ultimately, I need to export my final movie to a DVD to be played on a "normal" television, "non-widescreen", with a 4:3 ratio. When I do make the final DVD in iDVD will the footage be poor video quality, or is there some other settings I should choose to have a higher quality video be produced?
I just don't want create this major project and have all the settings wrong for final output.
Thank you in advance for any and all help.
~ Jarrod

When played in Quicktime at the actual size the video is very crisp. However, when I increase the size of the playback window the video quality decreases and just looks horrible
What did you expect? That's what happens when you stretch video larger than it's native resolution. It should display fine on any standard TV.
-DH

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