Way back in 2004 I posted an article talking about the 'The debugger is not properly installed' in Visual Studio 2002/3. Today I wanted to briefly talk about another reason for seeing this problem that an extremely helpful user pointed out (thanks Joel!).
If running debugger diagnostics shows:
Result of 'CoCreateMachineDebugManager(&spMachine)' is '800401f9'
Then you may have bad registry entries under HKEY_CLASSES_ROOT\CLSID\{73b25ffd-f501-437b-8b11-7f0de383964f}. If you have an 'InprocHandler32' key under there, then this is your problem.
To fix it: