I remember there being a quite large 1.5gb file whenever a VM was running, is this still the case in Parallels 3?
I have 768mb for windows xp, and when running it, there is a mem file of 768mb in size. If I could select 1.5gb, then I am sure it would be 1.5gb.
I have 512MB set up for memory in the VM. It used to take up about 1.5GB for the .mem file, but with the latest version it only takes 512MB.