The industry standard screencasting software for the PC is a program called Camtasia Pro. Currently, the most recent version of Camtasia is Camtasia 5.
This is a very powerful and robust screen capture software and it is not very cheap. The full retail version is $299
Want to get it for free? Well, you used to be able to when I created this post, unfortunately the offer has gone away. However, you can certainly download a trial, or TRY out JING.
With this fully functional version, you can also upgrade to version 5 license for only $149. However, version 3 is still a very robust and excellent product.
With Camtasia, you are free to choose whether you wish to record the entire screen or a part thereof. You can choose to add voice-over for ease of understanding the steps involved. The end result is of course, a simulation movie.Using this software you can easily provide captions, callouts, highlights text fields for the user to type in, mouse rollovers etc. You have the ability to produce only portions of the video and you can use Powerpoint to make a slide presentation with navigation controls.This software is really a complete learning tool
Camastasia supports a multitude of languages. English, German, Spanish, Russian, Chinese, Japanese, Korean, Dutch, French and many more languages are supported. The help files are good and the interface it quite intuitive and there are many learning tools available with which you can learn how to use camtasia in a matter of minutes.