My computer meets all the recommended specs, but I get griffon lag and AH lag. I assumed it had to do with server problems they kept talking about, but from reading more on the WoW forums, I'm now fairly convinced it's a RAM issue.
Although WoW says 512 MB RAM is more than enough, it is NOT. It is barely enough. I can't run any programs in the background and use every possible setting to maximize performance, but it's not enough. WoW runs fine most of the time, but becomes very jerky in the previously mentioned areas). I've seen numerous posts by people with similar issues who upgraded from 512 MB RAM to 1 GB (including a friend of mine who knows computers fairly well), and suddenly WoW runs smoothly (lmost flawlessly) for them.
Unofrtunately for me, upgrading RAM is a huge undertaking. My motherboard can't take more than 512 MB, so I'd need new RAM, a new motherboard, and I'm also running Windows XP. So there's a good chance that even if I replaced the motherboard, I'd have to contact Microsoft to reactivate Windows XP. And all that seems more trouble than it's worth, even though I'm addicted to the game.