Thanks Tom!
I think I still may be confused with these terms. When I click record screen and set it to 16:9 (which is also my slide size), it is only recording a portion of my real screen. My display resolution on my screen is set to the recommended 1280x1024.
If I understand correctly 16:9 aspect ration is the same as 720x540 resolution so this is why it is blurry?
When I click record screen and set my recording area to Full Screen it shows it is the 1280x1024 same as my computer display, however it's not close up enough then to see what I am demonstrating.