Curser seems to jump ramdom to the middle or beginning of what ever sentences I am writing. this is very frustrating b/c it will appear in the middle of a word causing incorrect spelling of the words. Did i activate somekind of activity by accident or is this more of a serious problem. It happens on my G$ ibook.

You could have activated the Universal access control panel. Go to system preferences select Universal Access see if anything is switched on either under keyboard or mouse. If any are switched on switch them off close the control panel and see if the problem still occurs.

You have not said if this is associated with word or a particular application. If it is word go preferences within word and see what is checked in the "Edit" section