Ask HN: How can you make a demo video look good using freeware?

I've been playing around with making a demo video for my startup and had a few questions -- I'm trying to do it as cheaply as possible, so try to keep software recommendations to freeware / low-cost software.

What software do you use to record screen video? Why? Currently, I'm using Fraps b/c that's what I used to capture video when playing games.

What resolution do you set your desktop to when capturing video your planning on sharing via youtube / vimeo? I've been shooting at a low resolution between 1280x720 and 800x600.

What FPS rate do you use to shoot? I've been shooting around 30FPS and that keeps the file size more manageable.

Should you shoot at a resolution w/ the same aspect ratio as the video box on your website?

What software do you use to edit video / add audio? I've used Windows Movie Maker, Windows Live Movie Maker and the editing tools on Youtube.

Can you recommend any good startup demo videos?

If you have any other tips that can help make the video better, I'd appreciate it.