Necessity depends on usage and installed ram. If you have a lot of ram (say
512MB or more), then a large pagefile is probably not necessary unless you
happen to do a lot of video or image editing. By default, WinXP sets a
minimum size of 1.5 times the installed ram. This is to catch a dump file on
system failure. If you cannot read a dump file, then this is pretty much
useless to you. You can change the settings to something more reasonable if
you wish, but just don't disable it as some programs expect it to be there.
This is a good read: http://aumha.org/win5/a/xpvm.htm
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