Only two? <grin>two things are bogging your system down, Mike7.
According to that article, XFCE is one of the lighter desktop environments, just behind LXDE.One, XFCE is quite heavy. Like "GNOME2 minus a pound or two" heavy. No, really. Look here. MATE (in case you don't know) is basically the "we continued it because they wouldn't" edition of GNOME2.
I agree, and I will do as you suggest and install a 2Gb RAM stick when I'm back in the States in the fall. That is, if it can be done. I'm not sure the 1000HA can take more than 1Gb.The other issue is that your RAM is only a single gig. You should have two.
I wouldn't know how to install it, and I don't think I want to start messing around with the insides of this netbook. Stuff's pretty tightly packed in there. But it's a good thought.If you have a little money you can also put an SSD in there.
M.