Thanks TB, you have basically highlighted to me the problem with Vista, Win 7 etc navigation for the brief time I have used then. The human brain's memory works by association, so I find by far the quickest way to navigate to what I want to is having all the folders displayed in the left panel on Windows explorer and use my brains strength memory association.
Yes, it does require discipline in setting up root folders and subfolders in logical ways, but that works very well for me, with just a few clicks to expand the directory structure and load what I want.
The problem with search is being able to remember or guess the appropriate words to get the right results and is very slow and brings up lots of results that you don't need. Ok for an occasional user, where time is not money, I guess, likewise with hiding everything out of sight. I can't be the only person that feels like this where many people in preference still use XP and people are voting with their feet and wallets. Yes, I will be going over to Windows 8.1 when I build myself a new PC at some point in the next few months where Windows XP will no longer be supported and also due to where they use HW screen rendering, better multi-core, multi-thread support along with better code optimization to make things faster. I just hope I don't have to resort to sammy to show it who the boss is.

It will also be like all my machines AMD based as Intel is another monopoly I try to avoid and by buying AMD, it continues to keep Intel a bit more honest on pricing.
Thats the problem with arrogant monopolies like Microsoft is they want to decide what is the most efficient way for me to work, not me. The removal of the start button in Win 8 just show how out of touch they are with the people that put up with using their software. I've said for many, many years that Microsoft like all monopolies will eventually go bust or be taken over, they can't and won't cope with more nimble footed competition. Android now powers over 60% of computing devices and is growing fast and Unix / Linux power the majority of web servers. Once a much better office suite appears they will be in real trouble.
PC's, and Laptops are not easy to use and are high maintenance compared to phones and tablets. Yes, there will continue to be a small but significant market with businesses and more intense users of computing power to use PC's and Laptops, but for the majority of people a tablet will suffice. I thought the MS Surface was a good tablet / PC compromise with the add on keyboard, but MS pricing arrogance has stopped it going mass market, if they had stacked them high and sold them cheap while developing comparable market presence and software support to compete with Apple and Google than I think they would have been a much more significant player, they might get one more bite of the cherry with Surface 2, but personally, I think they will make the same mistakes again.
I also agree that there is an element of people not upgrading as quickly as they used to and also upgrading memory, HD size to extend the life of a PC and apart from high end games, power and performance is fine for a much longer period of time than PC's used to last where I used to look at a 2 to 4 year lifecycle, my present PC, which is now just beginning to get irritating slow at times and is about 8 - 9 years old.