Why can't I make folders not Read Only?

I’m running Windows XP Home.

I can’t get rid of the Read Only attribute on the folder properties window. Initially, the check box is grayed out, but I can still click and remove the check. After that, it will function like a normal check box until I close the window. The folder will still be Read Only, and when I open the folder properties window again that check box is still grayed out. This appears to be the case for ever single folder on my computer.

Strangely, I can modify/create/delete files in all my folders, so the Read Only function doesn’t seem to be doing anything. The only reason I’ve even tried to change the attribute is because of a problem with only one program. What gives?

This is as intended, it seems.
http://support.microsoft.com/default.aspx?scid=kb;en-us;326549

Microsoft has a knack for this sort of explanation (from the above link) -