I'm not sure if this will help but I'm fiddling with my fresh install of SH4 on my 24" NEC. I discovered you must exit the sim and restart to see the graphics changes take effect. I have mine running at native resolution of 1920x1200. My nVidia control panel is set to control scaling and aspect instead of the monitor's controls. I needed to do this to keep SH3 at 4:3 so I don't get any screen stretching. SH4 has widescreen support which is fantastic so far.
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Gaming Computer Specs:
CM Stacker 930
DFI LP UT X58-T3eH8
i7 920 CPU
TR 120 Extreme HS (lapped)
6 GB OCZ Platinum 1600 (8x175 = 1400)
BFG GTX 295
Silverstone DA1000W PSU
Sony GDM-FW900 24" Wide Screen CRT
WinXP Pro 32-bit
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