Problem running apps fullscreen in emulator

I've created a device targeting 2.1 and having a screen screen size of 480x800 (WVGA). Some apps, including the one I'm currently writing, as well as the ApiDemos example, won't run fullscreen. I've uploaded a screenshot here: http://img248.imageshack.us/img248/503/emulator.png

What could cause something like this? If I run these apps on my HTC Desire (which has the same resolution), they utilize the whole screen like they should.

Well I finally found a solution. In case anyone else comes across the same problem, the solution is to add the following to your AndroidManifest.xml:

<supports-screens
    android:smallScreens="true"
    android:normalScreens="true"
    android:largeScreens="true"
    android:anyDensity="true" />

<uses-sdk android:minSdkVersion="4"/>
<uses-sdk android:targetSdkVersion="10"/>

Putting sdk version in androidmanifext file will make it work too.