Your problem is quite common. I had a similar problem(identical VGA adapter "00:02.0 VGA compatible controller: Intel Corporation 2nd Generation Core Processor Family Integrated Graphics Controller (rev 09)").
I posted my solution to the problem on this forum, see the links below, at proper time.
From the command line, make sure you have the i915 module loaded.
If the module is loaded OK, you can fix the resolution issue by applying what I wrote in this post: http://www.backtrack-linux.org/forum...ad.php?t=58993
But that's not all, so...
Your /etc/X11/xorg.conf is not well written!! To create a more correct xorg.conf, execute the following commands (from the cmd line, before calling startx, as root):
Explanation for commands above: Xorg called with option "-configure" will probe your graphics hardware and will create a pretty usable xorg.conf file which you
# Xorg -configure
# cp /etc/X11/xorg.conf /etc/X11/xorg.conf.BAD
# cp /root/xorg.conf.new /etc/X11/xorg.conf
copy to /etc/X11/. X session will start, but of course the graphic acceleration will be bad. So last step...
Now, while you're in graphical mode, edit /etc/X11/xorg.conf and, in section "Device", near the entry with identifier "Card0", replace the Driver entry like this:
Most probably the initial entry is: Driver "vesa", so just change "vesa" to "intel".
And the very last step (which will actually greatly improve your 3d acceleration) is to upgrade the Xorg Intel drivers.
To do this upgrade, apply what I wrote in this post: http://www.backtrack-linux.org/forum...ad.php?t=47860
If you manage to do this 3-step procedure without errors, you'll have a great 3d-accelerated system, with the display's ability to switch among supported resolutions.
Please confirm if it worked.