All of a sudden my text is incredibly small. The resolution is set at 300. The "Resample image" box is unticked. I've tried resetting the character...still the text is smaller than it should be. For example, 8 point Times New Roman can barely be seen with the naked eye. I haven't done anything different. What gives?
Two things you can try:
1. with the type tool selected, right click on the big T in the tool options bar and choose Reset Tool.
2. If that doesn't try resetting the cs2 preferences by holding down the Shift+Ctrl+Alt keys just after double clicking to start photoshop.
Keep holding the keys down until you get a dialog asking if you want to delete the photoshop settings file and click yes.