Networking XP Home with XP Pro
If you have win xp home edition, this is the only way to get over the problem as the local settings & sedurity policy are not available in Administration Tools.
As far as I know, user rights policies applies to WinXP Home as well, you just don't have a builtin GUI tool to see/change them.
You should be able to set/remove those privileges with the Windows 2003 resource kit command line tool ntrights.exe.
Ntrights.exe is in the free Win2k3 resource kit:
Windows Server 2003 Resource Kit Tools
http://go.microsoft.com/fwlink/?LinkId=4544
or
http://www.microsoft.com/downloads/...&displaylang=en
The kit will install on WinXP or later.
After installation, click on: Start, All Programs, Windows Resource Kit Tools, Command Shell
Then enter the following commands. (Attention: they are case sensitive.)
net user guest /active:yes
ntrights +r SeNetworkLogonRight -u Guest
ntrights -r SeDenyNetworkLogonRight -u Guest
The first command enables network access for Guest, the two subsequent ones change two different policies to allow network access for Guest.
This has been confirmed to work by several users.