My W7 Home Premium has suddenly changed its behavior. Double-clicking on My Computer, or right clicking within disk management and selecting Explore, results in a new minimized icon on the taskbar. These icons, if clicked, replicate themselves. I've attached a screen capture of this thread preparation. Note the "Computer" icon in the task bar. Clicking on it places a new minimized "Library" icon alongside, that will not open either. They never allow the contents to be displayed on the desktop (i.e. cannot be opened or maximized). I have not installed SP1 or other Windows or Microsoft Updates since Feb 11, which is also the date of the latest restore point. I have taken no restore or other repair action, other than F8 and using "Last Known Good configuration" to no avail.
Win 7 does not lockup or BSOD or display any error message boxes. It just prevents me from getting inside my folders to view files. An application like Word 2010 can open a folder and load a file, and be minimized and then maximized, but not Explorer-launched folders.