Apparently, capturing video (and audio with it) is very easy. Just found out about the free Jing tool. Here is a one minute video I did to demonstrate. Enjoy.
Here are the steps:
1. download and install Jing.
2. Set it to share screencast.com or an FTP site. You can save the capture as SWF files, but if you are looking to embed them in your blog/webpages, you may need to host them first.
3. Jing your captures!