I spent about an hour on this and found a solution. Go to ATI's support site:
Download that package, extract it but DO NOT INSTALL IT. Then open device manager and click on "Update driver" for the graphics card, which in my case was reading "Generic VGA blah blah blah." Then, click on "Browse my computer for driver software." Specify the location which you have extracted the catalyst software to, the default being:
It will install the new driver automatically. Restart and bazinga.
Note: The first time I reinstalled my screen freaked out like it had short circuited. However, I also made many other changes before restarting. Upon restarting in safe mode, uninstalling the driver, and then booting up normally and installing only the Radeon 8500 drive everything worked fine. I recommend setting the resolution to the lowest possible numble, 800x1024 or something before restarting to ensure you do not encounter maximum resolution problems that your monitor may not be capable of supporting.