Jaggies and zigzag edges to moving images in SD (480) files in PD is a longstanding and common problem.
I think it has something to do with interlacing management.. I know it looks just awful.
I have also seen the effect where a stationary image does not look bad.. then when the image moves the effects become awful.
For PD8, one workaround is to first render/save the video as a custom profile using a 480 progressive template - then close the project - reopen and load up that recently rendered file - then burn the DVD
For PD9, the only workaround I found was to purchase an editing program from another company.
For PD10, I sometimes have luck when using ONLY the default DVDHQ template. ANY custom template I have tried created jaggies and zigzag edges on moving objects in the scene to occur.
So you may try first rendering your project with the default DVDHQ template. Then close the project, load up your recently rendered DVDHQ file, then try to burn to DVD.