I think the DS screens are a little bigger than the GBA screen. That's why you get the border. There's not a way to expand it like the way the GBA did the old GB games.
that border kinda annoyed me at first, but since each pixel of the ds screen is a little smaller than it is on the gba, the gba games actually look sharper on the ds screen than they do on the gba. Just like they look sharper on the gb micro.
The GBA screen res was chosen as a compromise between ease of porting SNES software and supporting GBC games.
When it came to the DS the primary concern was getting enough resolution to make 3D look decent while keeping the price down. Since it wasn't going to be that much higher than the GBA, upscaling wsn't very practical. Even at that scale the results can be pretty ugly. It's more difficult than scaling GBC graphics because the GBC stuff starts out pretty ugly.