My code suggestion is a small edit of line 43 in functions.php in your parent theme, the file at:
wp-content/themes/fashionistas/functions.php
Just change the 50s for 150s.
A parent theme works where its not overwritten by a child theme. What is happening is that the parent theme is setting up custom thumbnails for posts. Because these are custom sizes, their sizes cannot be controlled from the settings at admin page > settings > media.
Once you have altered the custom size for the “thumb-small” size in the code, the thumbs will be produced at 150. At the moment they are being produced at 50 and then stretched to fit the 150 space, hence blurry.
Your css code controls how the image appears but does not control the size of the image that is sent to the browser.
I’m not sure but another regenerate thumbnails may be needed after you have altered the custom size.