Problem
How to capture system audio with Morae Recorder
Solution
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Choose Record > Settings > Audio tab within Morae Recorder.
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Verify that your sound card is selected in the Device dropdown list.
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Click the Volume button.
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The Recording Control dialog box appears. Enable the Select checkbox below for one of the following: Stereo mix, Mono mix, Wave out, Mixer, Mix/Wave (different sound cards have the input labeled differently).
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If you do not have this option, please choose Options > Properties and make sure that you have the input selected under "Show the following volume controls".