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Default Profile in Windows 7

What is the "Default Profile" profile for in Windows (7)?

If I customize my domain account's profile (like create shortcut settings, etc) and then I select that profile and do "Copy to" in the "Configured advanced user profile properties" the Default User, does that mean, whoever signs onto the laptop next (such as another domain user), they will have similar settings?
What all does it copy to their profile and does it duplicate anything?
Is there a better way in Windows 7 to configure a new user's profile setting (such as preparing the profile for a new employee who hasn't started yet)?
2 Solutions
Many people recommend setting it up through group policy, but I personally use the default profile as well. One thing it copies are the items from start menu and shortcuts that are not in the “all users” sections. The other more important thing is the registry settings from the current user key. This can include anything and everything including default printer, start menu layout, screen saver and just about anything else you can think of.

Note that the default profile only applies to people who have never logged in. If they have, you must delete their current profile first before the default will become theirs.
Configuring the default user profile on a Windows Vista/Windows 7 PC is only supported at the time of Sysprep using a special switch in the answer file.  Although people used to use the Copy To feature in XP, it wasn't actually officially supported there either.
It seems though that creating the *domain* default user profile can be done this way:

This is THE article you need: http://support.microsoft.com/kb/973289

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