The card in that one is similar to a 9600, I believe so the performance will be better. Are you averse to buying online, however? I priced out a Dell Studio XPS which has a Core i7 (really f*cking fast mother-f*cker') and a Radeon 4850 for $899 bucks. That's also with a 500GB Hard Drive, which is pretty hard to fill up, but you can upgrade to 1TB if you need. Don't worry about RAM, either. The Dell's 3GB may seem small, but it's totally fine for regular use and gaming.
http://configure.us.dell.com/dellstore/con...studioxps-435mt
Just scroll through that configuration bar at the bottom, hit the 'video card' icon, and then select the ATI 4850.
The 4850 is a great card if you're gaming even at 1680x1050, and it should last you a while. Like the HP's though, Dell's can be a pain in the ass to upgrade. The power supply may also be very limited, so if you intend to upgrade to a more powerful graphics card in the future, you'll have to consider a new power supply, but that will likely be a while if your needs are reasonable.
Another option is to build a computer yourself, but that takes a little more effort, and you won't be able to get that Core i7 at a similar price - but you may get a slightly more powerful graphics card.