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Great tip Erik... memory is the most important thing when it comes to drawing intensive apps. 

if Photoshop seems to slow down after a while, you might want to change the "Physical Memory Usage" found under Edit-->Preferences-->Memory & Image Cache.

I think PS default is 75% but you might want to increase it to %80 or even %85 depending on your installed memory. On the same dialog box, you see the "Photoshop RAM" amount. It's NOT solely the physical memory used. Its both physical memory AND the virtual memory used so don't be alarmed if that number seems too high.  If you run out of physical memory, PS will write the additional memory data to the disk.

One thing tho... Photoshop doesn't clean after itself.  After you close PS, it leaves the temporary memory data on the disk so you might want to clean it manually. The temp file is usually under \%windowsDir%\Temp or \Temp\ folder.  I have 512megs of ram and even with that, its not suprizing that I find 300-350 megs of temp file after I close PS

well the moral of the story is to install as much memory as you can afford. Photoshop is a memory hungry app .. greedy indeed... so memory is very important if you want a smooth ride.

OZ