yoyoyojo: Thanks for the help. My problem is solved. Summary
"After installing, open the DOSbox config <install dir>\dosbox<game name>.conf, find the line fullresolution=original and change it to your screen's native resolution (e.g. 1024x600 or 1920x1200). Save.
If you're running XP, that's enough to fix it (how easy was that!). If you're running Vista, you'll also need to launch the 'Graphic mode setup' from the GOG start menu program group."
I tried other modes. Some work with this fix, some don't. OpenGL for me seems to work the best.
You're kinda circumventing the real problem.
Do you use an nvidia GFX card?
Go to the nvidia control panel. Go to Adjust desktop size and position. Set scaling mode to aspect ratio. Set "Perform scaling on" to "GPU". Check the override button below.
Do you use ATI?
Go to Catalyst Control Center. Go to My Digital Flatpanels. Go to properties. Under Image scaling check Enable GPU scaling. Make sure aspect ratio is ticked on.
This way games should always display in their native aspect ratio regardless of your monitor settings.
If you dont see the options you probably use outdated drivers. Update.