The most common reason for a Stop 0x0000007F error is a hardware failure (with memory failures being the most common kind). It can also be caused by software/drivers. Shutting down Windows improperly can cause these problems - but it usually takes more than just one time for it to become apparent.
So, I'd first try checking your memory with this free memory tester: http://www.memtest86.com/
Read the directions thoroughly and let the test run for at least 3 passes (overnight is better). If it starts finding errors you can shut it down as that indicates problems with your memory.
Due to the windows/system32/config/system problem, I'd also suggest downloading a free, bootable hard drive diagnostic from the manufacturer of your hard drive.
Another thing to do is to boot from your Windows installation CD and press "R" at the first screen to enter the Recovery Console. Once in, you can type "chkdsk /r" to check and repair any file system problems on the disk ( http://www.bleepingcomputer.com/tutorials/how-to-install-the-windows-xp-recovery-console/
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