New MBP - endless spinning ball :(

I have had this MBP for about six months. It is a 1.83 Ghz Intel Core Duo, OS10.4.8. I had the spinning ball problem from the beginning, so I upgraded my memory to 1.5 GB. That has helped only slightly.
Lately I have been using it more professionally, more often - Photoshop CS2, pretty big files back and forth, scanning, managing files, etc. I am encountering the spinning ball constantly: navigating between files, changing file sizes, opening files, and especially working with the Bridge (I think the File Browser was better, at least performance wise).
I am really, really disppointed with this machine. It is not fast, it does not perform well, and most frustratingly, as I've stated, I get the hanging spinning ball all the time. It feels like the six year old PC laptop my wife finally got rid of, not a state-of-the-art Mac laptop.
I called Apple a few months back and they said the warranty was only for hardware, and I had to troubleshoot software issues on the Apple site.
I also bought this machine in the States, and brough it here to the UK. (I don't know if that effects my warranty).
I can't work professionally with this product, I thought Apple was better than this - I also have a G5 desktop machine which works pretty well.
What should I do??
G5, dual 2Ghz   Mac OS X (10.4.6)  
G5, dual 2Ghz   Mac OS X (10.4.6)  
G5, dual 2Ghz   Mac OS X (10.4.6)  
G5, dual 2Ghz   Mac OS X (10.4.6)  
G5, dual 2Ghz   Mac OS X (10.4.6)  

Christopher, as others have mentioned, your problems are due to running legacy PPC apps via Rosetta emulation. And these are substantial programs with big RAM and CPU appetites.
Rosetta effectively doubles their RAM demands and cuts their performance by about 50% due to emulating PPC instructions on the fly.
The spinning balls are due to page outs in the Virtual Memory system, which uses the Hard Drive to make up for too little real RAM.
The more legacy apps you are running in Rosetta, the more virtual memory is used -- and this affects the responsiveness of all applications, even Intel native or Universal ones.
The solutions are: 1) run fewer legacy PPC apps; 2) get more RAM; 3) make sure you have adequate free space (at least 10% free) on your hard drive to allow VM to work efficiently.
If you fire up Utilities > Activity Monitor you can see which PPC legacy apps are running. Try to get that down to none. Activity Monitor will also tell you how many page-outs are occuring in Virtual Memory. My guess is: alot!

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