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Your picture is just as small.
Going by your picture, am I right to say that it's a Vista?
If so, click once on your desktop.
Hold down the Ctrl button. Using the scroll button of your mouse, scroll up. This will change the size of your icons.
Next...
Right click on your desktop and select Personalize.
Click on Window color and appearance.
If using Vista Aero theme...
1. Click on Open classic appearance properties for more color options link.
2. Click on the Advanced button.
3. Under Item, select Icon Spacing (Horizontal) from the drop down list.
4. Increase the size till your liking. Click Apply.
5. Go back to your desktop. If you like the spacing, continue to Step 6, otherwise, keep adjusting and clicking Apply.
6. Under Item, select Icon Spacing (Vertical) from the drop down list.
7. Increase the size to your liking. Click Apply. Look at your desktop again. If good enough, click OK. Otherwise, repeat Step 5.
If using Vista Basic and Windows Classic theme...
Follow Step 2 onwards to adjust.
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