Help! Icon-Highlight Problem [New Problem]

[litesung]

Hello.. I have a new problem now

Alright, so I was able to fix the mouse-highlight option... but apparently I am having a problem with clicking icons on my desktop. I'm not sure how to explain it but I took pictures for examples.

Normally on Vista/7 when you click on an icon on the desktop, it is highlighted blue. On my computer, for some reason everytime I click on an icon, it shows blue AND the dotted Xp-style line. The only way it disappears is when I double click on a program/icon from desktop, and minimize that program..then it appears to be gone but when I click on the desktop it re-appears on the last program I clicked.

I provided two pictures of what it looks like, the icon that has the dotted-outline is the Google Chrome icon.




I have also tried restarting but it had no effect. Thanks for your time and thanks for helping me!
PS: I have also tried right-clicking on the desktop and choosing "refresh" and the out-line disappears, but when I click back on the desktop it appears back on the icon that I last used.