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The Best Webcam Settings For OBS Studio & How To Add And Crop The Webcam Video Feed
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Answer
Select to add a Video Capture Device as a new source in OBS Studio; you can name it whatever you want. Set the Resolution / FPS type to Custom. You will now be able to use a different resolution, and some other options will show up. Layer it above your game or display capture to see the video output.
Adjust the OBS Video Capture Device Settings
Select to add a Video Capture Device as a new source in OBS Studio; you can name it whatever you want. Set the Resolution / FPS type to Custom. You will now be able to use a different resolution, and some other options will show up. Layer it above your game or display capture to see the video output.

Adjust the Webcam Settings and Crop in OBS
When selecting the window, you can move it around and resize it by selecting a corner and dragging it. If you hold shift by dragging a corner, the capture device will resize but keep its scaling; Use CTRL & F to set it to fullscreen; Select the window, right-click it, and navigate to Transform, Edit Transform …; This will enable you to change the crop settings, positional alignment, bounding box type, etc.; Reset the transformation with CTRL & R. Manually rescale your webcam feed by dragging a side while holding the alt key

Video walkthrough
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