I'm not trying to use the fglrx driver, but the radeon one you recommend. I found out that the ATI fglrx driver does not support the 7500 Radeon mobility, because it is based on the R100 chipset; the fglrx driver only supports the R200 chipset and newer.
Here is what the xorg.conf that I attached reads for how I've configured it:
VendorName "ATI Technologies Inc"
BoardName "Radeon Mobility M7 LW [Radeon Mobility 7500]"
Please, take a look at the xorg.conf.old.txt that I attached for a closer inspection. I'm by no means an X-Windows expert, so it's entirely possible that I've done something I shouldn't have ... but I just don't know where else to go from here.
Thanks in advance for any help.