Switching to Win 7 kills High Quality Display Performance option?

I recently switched from Windows XP to Windows 7.
I am running CS2. The files I work with contain placed PDF pages in InDesign. I have verified all links are good.
The placed PDF pages contain some pages that are scans, and some containing live text.
I have the default settings for InDesign set to High Quality Display, and also verified with the contextual menu that it is on currently for the document.
Printing is fine, and export quality is fine. (Yep I restarted, an really familiar with this setting, and switched them all around while trying several times, I even cleared the object level display settings.)
When I was on XP I got a nice crisp preview, now there is no difference between "Typical Display" and "High Quality Display", not even a flicker as I switch settings. It definitely changes if I select "fast Display" to they gray boxes.
All my text from the placed pages, even the live text, is really jagged, even if you zoom in.
My graphics driver is up to date, I tried eliminating my page file, and also making it bigger. It is currently system managed at about 8000 MB.
I am on an HP Pro 3130, 2.93GHz, with 8 gigs of ram, and an ATI Radeon HD 4550 video card. I have the same monitors as before, an HP L1906 (dual, identical monitors) set at recommended resolution. I have tried it a 60 Hertz and at 75.
Old files that looked fine before and also new files all share this issue.
I am not sure what else to try.
Any ideas?
Thanks in advance!

CS2 is completely unsupported under Windows 7.
Additionally with 8 gigs of RAM I imagine (hope) that you're using the 64 bit versions. This is another fly in the ointment.
Sorry, but it's time to upgrade to CS5. And this is pretty much your last chance at upgrade pricing. CS2 is the earliest version eligible.
I suggest you take advantage of it now before you have to pay full price.
If you have the suite you must upgrade the entire suite. The best deal I know of is on Amazon where you can save $30 and get free shipping: http://amzn.to/byP8go
If you have the stand alone version the upgrade is just about the same price everywhere. $199. Just make sure you by from an authorized retailer.
Bob

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