Ok, this post is worth it, unlike my last one that i deleted.
I just discovered the circumstances under which Windows XP will swap your programs into the pagefile.
Open an Internet Explorer. Set Task Manager to "Always on top" and enable the "Mem Usage" column. The IE should be using around 20MB, at least on my system it does, what with a few toolbars and what not. Now, use a program like TaskInfo to watch the page file usage, and have Task Manager watching the IEXPLORE.EXE and out of the way of TaskInfo's "Swap in Use KB" so it's all nice and visible the moment you do the following:
Now minimise the Internet Explorer.
What happens?
Immediately the IEXPLORE.EXE drops to 2MB mem usage (down from 20MB), and "Swap in Use KB" climbs gradually at a rate of about 300-400KB/s until it hits about 6MB higher than where it started.
Voila. The tests varied with IE, it wasn't the same every time. Sometimes it went to 1.5MB Mem Usage and only 4MB of swap was used. Windows XP swaps minimised programs. I tried the exact same thing with Encarta Dictionary, WinAmp, MSN Messenger, Microsoft Word, and Paint Shop Pro. All exhibit the exact same behaviour when minimised. They drop their "Mem Usage" in Task Manager and "Swap in Use KB" in TaskInfo grows gradually with the disk light flashing. I need not bother trying it with other programs because i know exactly what will happen.
Some further stats:
MSN Messenger: 29MB -> 1.5MB, 13MB swap file growth.
Paint Shop Pro: 60MB -> 4.5MB, 37MB swap file growth.
etc, i'm not going to post them all. You get the idea.
It might pay to know that currently i have 2GB Physical RAM, 348MB in use, "1.36GB" of "System Cache" (in Task Manager's "Physical Memory (K)" section) so there's plenty of room for the disk cache to grow.
What a stupid policy. To swap minimised programs.
Finally solved it. Hurray for me! :beer:

I'm turning off the pagefile altogether, unless somebody has a fix for the "swap on minimise" policy?
Regards.