NOPE, DVD menus will always be 720×480 and displayed at 72 dpi. The problem is that an overlay is a lot lower resolution, that is why things stair step so easily. If you look at Hollywood DVDs you will find very few Text buttons and when you do they are normally big and bold with heavy borders that find the edges. Another issue you have is that quality goes down depending on how the DVD is hooked up to a TV, If the user is using composite vs component it will look even worse and probably will not line up. It is the nature of the beast.
The best solution is to have a light color for text and then a heavy stroke border, then on the overlay the is more more than 11 or 12 about 75% opaque. The other way is to use another color or shade of gray to act as anti-liasing and you step down the transparency but use the same color. Using black as your text color will give you a little bit of this automatically.
So black = blue 13
Dark gray = blue at 11
light gray = blue at 9
Your text overlay should look sharper.