Windows XP has a nice feature called ClearType that is disabled by default. Your screen can look a lot more clear if you turn this feature on… especially if you have an LCD panel display.
ClearType uses anti-aliasing to make curved parts of letters look smoother. This makes them easier to read.
Here are two pictures – one with anti-aliasing (top) and one without (bottom).
The top picture is easier to read because of the anti-aliasing. ClearType does this same thing, but with text on your screen.
To turn ClearType on, right-click a blank part of the desktop and select Properties. Click the Appearance tab and then click the Effects button. There should be a check-box for “use the following method to smooth edges of screen fonts.” That is where you will find ClearType.