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Using Photoshop 7, copying and pasting images into Word 2021 documents, the little round handles do not appear. Those handles enable resizing images in Word documents. Worked perfectly three months ago, last time I worked with images on Windows 11 laptop. The handles do appear for images copy/pasted from Windows Pictures into Word documents. Ran Windows Compatablility Troubleshooter which attempts to match old programs with current systems, no luck. Uninstalled/reinstalled Photoshop 7, no luck.
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You'd have to ask in a Microsoft Word forum.
Mostly, I'm surprised Photoshop 7 still works in Windows 11.
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Photoshop 7 works in Windows 11 (and does the simple stuff I need done). Happily the problem got solved by following one of the "tutorials & articles" which Adobe displayed below my initial post. This was the solution:
Start in safe mode
Sometimes, third-party extensions and other utilities can interfere with Photoshop’s operation. If you start your computer in safe mode, third-party extensions and utilities are turned off, which can help solve your problem.