Vista's (and now Windows 7's) stupid Pictures and Videos folder type is NEVER useful for me. Whenever I see it I am ALWAYS disappointed and frustrated. It removes Explorer's basic functionality just because my folder has a picture in it. Here's how to disable automatic folder type discovery.
http://www.mydigitallife.info/2007/11/08/disable-automatic-folder-type-discovery-for-templates-in-vista/
Luckily if you like the Pictures and Videos folder type and want to use it for specific folders, then you can turn it back on, on a case by case basis. The issue here isn't that there is such a thing as a Pictures and Videos folder type; rather it is the badly implemented automatic discovery feature.