Windows Vista Home Basic or Home Premium ?

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Have you used Windows Vista Home ? What are the differences between the Windows Vista Home Basic and Home Premium editions ? Do you prefer to use Home Basic or Home Premium and why ? What are the hardware requirements (e.g. minimum RAM & hard disk space) ? Is it compatible with older versions of Microsoft Office ? Have you encountered any bugs in Windows Vista Home ? Will appreciate very much if you will share your experiences in using Windows Vista Home.