>>Nicholas, I did exactly what you recommended and the previously greyed-out (disabled) controls are all no longer disabled or greyed out. This is working perfetly now. So, we see that Microsoft put out a buggy Visual Strudio 2008, and they still haven't fixed it? and, we are at the end of 2009? What's up with that guys?
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>>Cecil
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>>>Then I found reset command: Tools -> Import and Export Settings... -> Reset all Settings. I did that and at the same time also reseted window layout. I am not sure if the latter has anything to do with this, but now drag and drop is working.
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>Why do you guys always jump to blame MS for buggy software. I have been using WPF/Silverlight since the beginning and have never had a problem.

Nice logic (I haven't had this problem so it doesn't exist) :-}
But I do agree that WPF generally feels pretty stable........