LCDs run at a native resolution. My 2407 runs at 1920x1200 (16:10 widescreen). If I want to display say 1024x768 I have a few options:
1) 1:1 pixel mapping/no scaling, this displays the picture in the centre of the screen with black bars on all 4 sides
2) ''Fill" scaling - this stretches the image to fill the entire screen. This looks horrible if you stretch a 4:3 res like 1024x768 to a ws res like 1920x1200.
3) Fixed aspect ratio scaling - this stretches the image but maintains the aspect ratio. If you are displaying non-WS content it will stretch it vertically but keep black bars on the side to maintain the aspect ratio. This looks a lot better than filling on a widescreen LCD.