Resizing at raster time was thrown in there because it seemed to produce slightly more readable text than directly rasterizing SVG at smaller sizes.
This makes me wonder if you have font hinting turned on. By default, because of patents and such, nearly all freetype installations leave it off. There's a DarwinPorts variant for freetype, +bytecode, that you can turn on to help with those smaller fonts if you're in a country that let's you do so legally.
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