Resources are what's used up (inside the computer) when it's working. It's RAM, it's the CPU, it's the system bus, it's your video card, your hard drive, etc.
The most common problem is seen when a lot of programs are running and then you start to edit video. This places a great stress on the system.
So, the first place to start is with an assessment of your system. From the spec's that you've given, I'd suspect that this was not a good system to expect high performance while editing video files.
Some things that you can do to make it better are
1) Add more memory (up to 1 or 2 gB of RAM)
2) See if there are any options for upgrading the CPU
3) See if you can upgrade your video card
4) See if you can upgrade your hard drive
Then, this brings up the question - is it cheaper just to buy a new system? Only you can answer that.
Or, maybe you don't want to put any more money into it right now. So here's some things that you can do to make it "less slow":
1) Close all open programs before you begin editing video
2) Trim your startup applications down to only those that are essential for the system (I use StartupCPL for this - it's free from here: http://www.mlin.net/StartupCPL.shtml
3) Trim your services down to only thase that are essential for the system. Here's a link to the BlackViper site on the Internet WayBack Machine: http://web.archive.org/web/20050401044922/.../servicecfg.htm
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