The video is a recording of a stage performance by a group of children shot from the audience.
The resulting output file shows considerable loss of detail when compared to the original (zoomed out to 1:2.25 - 720x480 in VLC.)
The facial features of the children are barely visible in the output, and the childrens' faces look blurred.
However, if I use the Video Crop tool to zoom in on a couple of the children, the resulting output file is comparable to the original (viewed at 1:1 - 1920x1080 in VLC.) The facial features are almost as detailed as the original.
So, what is going wrong in the first case? Is the MPEG-2 encoder excessively compressing the video? Is there any way to increase the quality of the output video using a custom HQ DVD profile setting?
Thanks for your help.