Access to the path "C:\WINDOWS\Microsoft.NET\Framework\v1.1.4322\Temporary ASP.NET Files...

I see a lot of trouble user have out there when using impersonation under ASP.NET (<identity impersonate=”true” />), namely something such as

Access to the path "C:\WINDOWS\Microsoft.NET\Framework\v1.1.4322\Temporary ASP.NET Files\root

 For our situation, we are using specified credentials ( e.g., <identity impersonate="true" userName="MYDOMAIN\applicationService" password="password" />) under IIS 6.0 using the default app pool.

Well, I was getting the above error as well, and the simplest way to handle it, I've found, is to add your identity to the IIS_WPG (IIS worker process group). This group seemed to come with all the necessary rights under both NTFS and the Local Security Policy.