How can I avoid the Local storage pop-up question dialog box during playing you tube vedios ?

You might try tweaking your global privacy settings.  I suspect it's set to "always ask."

  Go to this page -- http://www.macromedia.com/support/documentation/en/flashplayer/help/settings_manager02.html -- which contains the settings panel for Flash Player, and click on the various "deny" buttons to disable this.  (It's a good idea to click on all the tabs to check the settings.)

If this works for you, please post back.  (I know it worked for me.)

Ortho_Fan

(not a techie)

And exactly in what browser on what system? In any case, simply right-click on the video and set the Flash Player options properly.

Mylenium