Use Confluence like a network drive with drag and drop file operations.
New instructions with Confluence 3.2
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To map a Confluence WebDAV client web folder in Windows XP use ' My Networdk Network Places' not 'My Computer'.
WebDav client setup instructions can be found here.
Use network address: http://confluence.slac.atlassianstanford.comedu/plugins/displayservlet/DOC/Using+a+WebDAV+Client+to+Work+with+Pages
With the February 13, 2010 move to new hardware and an updated Confluence software install the WebDAV plugin is now functional. Use Confluence like a network drive with drag and drop file operations. WebDav client setup instructions can be found confluence/default
Known issue with Windows XP and 'My Computer':
Atlassian has an open improvement ticket to address the issue with Windows connecting to WebDAV
Until resolved they have recommended BitKinex WebDAV client as a work around. It is available for free here.