You can apply the fixed Effects, Motion>Scale and Motion>Position, to do what you want to the Clips. Just choose Effects, then Edit Effects, and you will see the fixed Effects for each Clip. If necessary, you can also add the Effect>Crop.
Hope that this helps, and good luck,
Sadly it didn't work.
The moment I scale it larger, it loses sharpness.
Unfortunately, that is the nature of scaling footage, and is unavoidable. Pixel interpolation will be required for any re-sampling. The other option is to reshoot, with the framing done, as is needed.
If it's hi-def video, you can import the video into a project set up for standard DV.
Before you use Get Media to get the video, go to Edit/Preferences and uncheck Scale to Frame Size.
When you place your video on the timeline, it will be much larger than the Monitor, and you will only see a portion of it. You should be able to use Crop and Scale to get just what you need and still have many pixels to spare. (And don't forget to press Enter to render the video before you judge its quality.)
Note that, depending on what format of video your original footage is in, you may need to work with the interlacing maybe reverse the field dominance. So I'd do a short test run and output to see how it looks before I committed to a full-length project.
First, thanks to everyone for your suggestions.
Steve, I have your Muvipix.com Guide to Adobe Premiere Elements 7 book right here, haven't started readiing it yet, thank you for you reply. Yes, that was the answer, it worked.
If i was going to shoot HD footage to later pan & scan down in an SD project, would it be better to shoot progressive or interlaced? or wouldn't it matter?
I'd recommend shooting in progressive scan.
Otherwise, if you're porting HDV footage into a DV project, you'll have to deal with interlacing issues.
If you import hi-def video into a project set up for standard DV you may have additional benefit of having many extra pixels left from original big picture. These extra pixels can be used for very effective work of image stabilizer (one of the effects in PRE8).