Retina images are smaller on iPhone 5 but render properly on the iPad 4

Hello, I'm running titanium 3.1.3, using iOS 6.1 in the emulator, and I'm using a Macbook Pro 15.4 inch. When I use the regular simulator for iOS, the app images look great. They also look great on my iPad 4 when used as a development device. But when I run using the "retina" settings in the ios simulator, the images shrink! although the background image stays the proper size.

What am I doing wrong? Should I just increase the size of the pixels I'm declaring? For instance:

"image:'images/settings.png', height: network.getHeightInDp(434), width: network.getWidthInDp(320), bottom:9"

Instead of h:217 and w:160?

Thanks in advance