The answer would depend on the speed of your CPU and the amount of RAM
installed in your computer. If you have a slow CPU and/or a small amount
of RAM, you would, of course, notice sluggishness more than if you have a
zippy CPU and/or a large amount of RAM.
As you may or may not be aware, there are many, many services running in
the background in Windows XP. Many of these services are not needed for
the normal home computer user. You may want to visit blackviper's site
(easily Googleable) for specific information about this.
Naturally, there are oodles of things that can slow down your computer, not
the least of which are trojans, viruses, key-loggers, the aforementioned
Windows XP services, slow hardware, etc.
If i am running 2 applications at the same time my Pc slow down example:
running msn e-mail
if try to open another application my system slow like someone else take
over my system.