vista iis, created new virtual directory, getting error

I published from visual studio to a directory on my desktop.  When I try to load the page, I get this error:

The requested page cannot be accessed because the related configuration data for the page is invalid.

Config Error Cannot read configuration file due to insufficient permissions  

Is there some security settings I have to worry about?

I am very new to iis7
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aibusinesssolutionsConnect With a Mentor Commented:
If you created a new virtual directory, you will need to give IIS permission to read from the folder that you pointed it to.

You can do this either through IIS, or you can simply right click on the folder that contains your virtual directory, and make sure that IUSR, IIS_IUSRS and Network Service have read access to the folder.
dhananjayadConnect With a Mentor Commented:
grant the read permission to IIS_IUSRS to the folder where your web app is located.

Also it might be a better idea to convert your application to a web application via II7. To do this, simply right click in the folder within IIS7 and chose convert to Application option.
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