if you can connect to 127.0.0.1, but not localhost,
its more than likely that you rushed through your
windows setup and skipped the network part (the same way we use to in xp)
but vista is a little more touchy youll nee to open your host file in notepad
it's in windows\system32\drivers\etc\hosts
youll see a line that looks like this
::1 localhost
youll need to comment this line out like below and add the second line as shown
#::1 localhost
127.0.0.1 localhost
to make your server live just find the http setting in your firewall and set it to allow inbound (its already allowing outbound or else you couldnt read this )