I was talking to Anders Uschold, the well-known technical journalist and imaging scientist, the other day and he has found in his recent testing of ink jet printers that the fundamental true resolution of such printers is not usually more than 300ppi. This is interesting because the rule of thumb that is the result of plain experience in the industry is that 300ppi (printed) is about what you should aim for to get optimum results. FZ50 JPEGs are roughly 3600 pixels wide, so in theory you should be able to print 12x8 prints, without resizing the image at all, and get maximum quality results.
Usually, resizing is automaticaly performed by the host imaging application regardless of the file's default 'dpi' value.
Anyway, as I understand it, you wish to resize an image from 10MP to 5MP and then print (without any further resizing of the data)? Sounds interesting, I think I will try that just out of curiosity.
That would reduce the horizontal pixel count to about 2500, making a 300ppi print approximately 6x8 inches.
I'll let you know if I notice anything interesting
Ian