OK , IT's FIXED ! !
I had been trying to install the Drivers and Catalyst from the install CD that came with my ATI graphics card. This time I had it to install from the ATI website, a 55mb download.
Now it's working with great, clear, big high resolution images and the text is crisp and clear. Thanks for leading me in the right direction.
Plus , I have to recommend this $250 (Newegg) 32 inch TV for use as a computer monitor.