I am running W/XP Home SP2. I am having problems getting IE7 to work. My problem started with IE6 so I upgraded to IE7 and still am having problems. 

When I start IE7 the URL goes to "res://C:\WINDOWS\system32\xpsp3res.dll/dnserror.htm#http://go.microsoft.com/fwlink/?LinkId=74005" and the output window says "The page cannot be displayed". My home page is currently set to about:blank. When I try so SELECT TOOLS -> Internet Options, I GET a window titled "Restrictions" with the text "This operation has been cancelled due to restrictions in effect on this computer. Please contact your system administrator."

I also have Firefox and Flock on this computer and they both work FINE. I really need to get IE working though. Any Ideas? Thanks in advance.Are you the administrator?
Have you installed anything else recently?Yes, I am the administrator.

I have had this problem for over 6 months, many things have been added/deleted from this computer during this time. I don't think I can attribute this problem to anything that has been recently done.Download HijackThis:
http://www.trendsecure.com/portal/en-US/tools/security_tools/hijackthis/download
Click on Download HijackThis Installer
Post HijackTHis log.please read this.....
Steps to resolve the problem
To resolve this problem, follow these steps.
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Step 1: Open a blank page in Internet Explorer 7
Test Internet Explorer 7 by opening a blank page. To do this, follow these steps:
1.   Click Start, click Run, type iexplore about:blank in the Open box, and then click OK.
2.   If Internet Explorer does not start, go to "Step 3: Start Internet Explorer 7 in 'No Add-ons' mode." If Internet Explorer starts correctly, follow these steps to use a blank page as your home page:
a.    On the toolbar, click Tools, and then click Internet Options.
b.    On the General tab, note the address that is listed in the Home page area. This address may cause the problem.
c.    Click Use Blank, and then click OK.
d.    Close Internet Explorer. Then, start Internet Explorer again.

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Step 2: Remove temporary Internet files, browsing history data, and Web form data
To remove temporary Internet files, browsing history data, and Web form data, follow these steps:
1.   Start Internet Explorer.
2.   On the toolbar, click Tools, and then click Internet Options.
3.   On the General tab, click Delete in the Browsing history area.
4.   In the Delete Browsing History dialog box, click Delete files, and then click Yes in the Delete Files dialog box.
5.   Click Delete cookies, and then click Yes in the Delete Cookies dialog box.
6.   Click Delete history, and then click Yes in the Delete History dialog box.
7.   Click Delete forms and then click Yes in the Delete Form Data dialog box.
8.   Click Close, and then click OK.
Test Internet Explorer to verify that it works correctly. If problems still occur, go to the next step.
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Step 3: Start Internet Explorer 7 in "No Add-ons" mode
To start Internet Explorer 7 in "No Add-ons" mode, click Start, point to All Programs, point to Accessories, point to System Tools, and then click Internet Explorer (No Add-ons).

If the problem does not occur after you use this method, use Manage Add-ons to determine which add-ons are causing the problem. To do this, follow these steps:
1.   Click Tools on the Internet Explorer toolbar, point to Manage Add-ons, and then click Enable or Disable Add-ons.
2.   Click the name of the add-on at the top of the Enabled list, and then click Disable in the Settings area.
3.   Click OK, and then test Internet Explorer.
4.   If the problem still occurs, open Manage Add-ons, enable the add-on that you DISABLED in step 2, and then repeat steps 1 to 3 for the next add-on in the Enabled list.
5.   Repeat steps 1 to 3 until the problem is resolved or until all the add-ons have been tested.
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Step 4: Use another user name to log on to Windows
Using a different user name and password to log on to Windows can help determine whether this problem occurs only when you use a particular user account. After you log on, test Internet Explorer to see whether the problem still occurs.
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Step 5: Reset Internet Explorer settings
To reset Internet Explorer settings, follow these steps:
1.   Start Internet Explorer.
2.   Click Tools on the toolbar, and then click Internet Options.
3.   On the Advanced tab, click Reset, and then click OK.
4.   Test Internet Explorer to determine whether the problem is resolved.

To All,

Thanks for your help and suggestions. I ran 4-5 different Spyware programs on my computer. It seems each one of them found something different. I then reinstalled IE7. Now it works.

ThanksGood news