Poor Quality in iMovie 09 with Stills

I've read through many posts and found some solutions, but the question to begs to ask: Why, when doing a movie with pics from iPhoto, is the final output quality so freaking poor?
My pics are upwards of 9MB apiece originally. I realize they get compressed through the process. I can do a 15 minute video on a DVD, and iDVD burns it to about a third of the disk. Why can't the program (either iMovie or iDVD) calculate the pics and only compress to a certain extent?
When I play a finished product on my Mac, it looks pretty good. But when I convert it through iDVD and burn it to a DVD disc, the output on my HD (yes, I realize THAT'S part of the issue) looks horrible. Aliasing is ridiculous.
I tend to save the files to the highest output and put it on my media player. However, when I want to share the final result with friends on DVD, I'm slightly embarrassed. The quality is just too poor.
I'm open for any input. I realize you can't burn high def to a DVD, but surely there's a better solution. Maybe iMovie 11?
Thanks in advance.

I make slideshow movies using still photos exclusively. Here is the process I use when I want to make a DVD from an iMovie project.
In iMovie I set the ratio to 16:9 and I also crop many of the photos in iPhoto to 16x9 (HD) - this works best for pictures in landscape; it's not good for portrait photos. Also, cropping this way doesn't work for all landscape photos either: sometimes I lose details that make the photo 'good' and so just leave it uncropped.
When the project is finished I choose Share>Export using QuickTime and click "options". In "options" I use the following:
Compression: H.264
Quality: Best
Frame rate: 29.97
Frame reordering: yes
Encoding mode: multi-pass
Dimensions: 1920x1080 (HD)
Scale: Letterbox
I use either iDVD or Roxio Toast to create a DVD.
The issue of the quality of DVDs made from iMovie projects has often been discussed in this forum. The process and settings I use may not be strictly kosher, but I do get good quality DVDs this way and so I stick with them. My projects are usually between 20 to 30 minutes in length.
I hope this helps.
(I haven't tried iMovie 11 yet.)

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