I have Windows 7 Ultimate and it looks like I'm running Windows 95 - I turned off all fancy visual stuff.
Looks darned ugly but I'm not after the 'looks' on this one :)
A high resolution is needed, but I wouldn't bog the system down with fancy graphics stuff. Just my 2c...
EDIT: having said that, like FastBikerBoy said, I don't know if it actually would weigh the CPU down. If it's completely handled by the vid card, technically it shouldn't, right?
On the other hand, when you choose "Optimize for performance", all the fancy visuals go away - so they must play a part in it... ?