Thanks @Aleke and @JohanElzenga for the quick replies!
I posted the same question on a different online forum and got essentially the same answers, so I posted the question here., hoping to break the tie.
I can imagine it working either way. I can imagine that LR displays images within a frame at the scaled resolution and I can imagine that MacOS allows LR to display images in a frame at the full native resolution of the display.
Is there a way to get a definitive answer to which way it actually works?
The point is that scaling the display does not change the hardware resolution of your monitor. Your monitor has 3840 pixels on the longest edge. If Lightroom sends only 1920 pixels (or 2048 pixels) to that display, then those pixels will have to be doubled by interpolation. That means you won't see the image in the quality that your display offers. Setting the preview size to 'Auto' would avoid that, because 'Auto' leads to 3840 pixels wide previews in this case. So it's a choice between best quality and larger previews, or smaller previews and 'second best' quality.