I am not choosing an image from the "My Pictures" folder because I have a separate directory that I have all of my images in (I do quite a bit of photography and the folder is over 85 gigs so I don't really feel like having to move all the images to a different folder.).

My old computer used the same operating system and I was able to choose an image from any folder on my computer, this is what I am trying to find out how to do.

jarndt,

Why are you trying to select a wallpaper from within a folder (using Windows Explorer, I assume)? Why not go to Start|Control Panel|Display|Desktop tab and select your choice from the list of images under Background? Everything in your "My Pictures" folder will be listed there.

I think you can right click on the picture and one option is "set as desktop wallpaper"

 

     

jarndt,

Right-click the folder with your photos in it and select Properties. On the Customize tab under "Use this folder type as a template" select "Pictures (best for many files" from the menu. After you do this, you can select any image in the folder and in Picture Tasks in the left pane select "Set as desktop background."

What you suggested doesn't fix the problem. I am aware that I can choose an image from within Windows Explorer and right click on it and choose "Set as Desktop Background" I'm trying to find out why I can not change the desktop background from within the Display Properties.

I figured out how to do this:

1. Click Start, click Run, and then type gpedit.msc.
2. Under Local Computer Policy, expand User Configuration, expand Administrative Templates, expand Desktop, and then click Active Desktop.
3. Double-click Active Desktop Wallpaper.
4. On the Setting tab, click Enabled.
5. Now click under Local Computer Policy, expand User Configuration, expand Administrative Templates, expand Desktop, and then click Active Desktop.
6. Double-click Allow only bitmapped wallpaper.
7. On the setting tab, click Disabled.

This will only work with XP Pro, as XP Home does not have "gpedit.msc"