SYMPTOMS: You are trying to install a plugin or component using the extension manager in Joomla 1.5 or higher and receive JFolder::create: Infinite loop detected
SOLUTION: Your TMP directory is not set correctly. In many server configurations open_basedir is set to a specific folder in your php.ini settings. Try changing the tmp directory path from /var/www/yoursite/httpdocs/tmp to just /tmp in the Joomla global configuration.