Symptoms of outdated drivers?

The game wont show anything about high quality graphics in the options menu only the low quality and medium but not high like in the demoand i also installed high quality graphics. Also in the demo version when high quality was enabled i could see text but nothing else and it lagged like hell, could the culprit be my video drivers? Heres the video Dxdiag:


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Display Devices
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Card name: Video-228PCI Series, NVIDIA GeForce FX 5200
Manufacturer: NVIDIA
Chip type: GeForce FX 5200
DAC type: Integrated RAMDAC
Device Key: Enum\PCI\VEN_10DE&DEV_0322&SUBSYS_00011B13&REV_A1
Display Memory: 128.0 MB
Current Mode: 1152 x 864 (32 bit) (60Hz)
Monitor: Plug and Play Monitor
Monitor Max Res: 1600,1200
Driver Name: nv4_disp.dll
Driver Version: 6.14.0010.5672 (English)
DDI Version: 9 (or higher)
Driver Attributes: Final Retail
Driver Date/Size: 3/23/2004 19:04:00, 4274560 bytes
WHQL Logo'd: n/a
WHQL Date Stamp: n/a
VDD: n/a
Mini VDD: nv4_mini.sys
Mini VDD Date: 3/23/2004 19:04:00, 1895648 bytes
Device Identifier: {D7B71E3E-4062-11CF-8B6E-0B2000C2CB35}
Vendor ID: 0x10DE
Device ID: 0x0322
SubSys ID: 0x00011B13
Revision ID: 0x00A1
Revision ID: 0x00A1
Video Accel:
Deinterlace Caps: n/a
Registry: OK
DDraw Status: Enabled
D3D Status: Enabled
AGP Status: Not Available
DDraw Test Result: Not run
D3D7 Test Result: Not run
D3D8 Test Result: Not run
D3D9 Test Result: Not run

Id appreciate it if someone could help me with this.:)
 
The culprit is your video card. It's a few generations old, and doesn't support what's required for the higher-end settings:

From the Troubleshooting Guide said:
Level 3
Requires Shader Model 2.0
Next-Gen resources
Circular shadows on park guests
Various shaders
Normal mapping
Parallax mapping
Environment mapping
Caustic
Luminous
Emissive
UV scrolling
Glare Effect
HDR Effect
Simultaneous animations for park guests of a particular type
Level 4
Requires Shader Model 2.0 or 3.0
Next-Gen resources
Full detailed shadows
Various shaders
Normal mapping
Parallax mapping
Environment mapping
Caustic
Luminous
Emissive
UV scrolling
Glare Effect
HDR Effect
Light shafts
Detail objects (e.g. grass and rubble)
Simultaneous animations for park guests of a particular type
 
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