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View in Thumbnail (assuming you don't have "Cache Thumbnails" turned off) will - the first time you make it view the folder - cause a performance hit while it generates the thumbnails. However, it will then store them in thumbs.db so that in the future it loads much faster.
As for "is it slower than `List Mode`" ? Yea, it is. You're displaying images instead of pure text, so it'll run a bit slower.
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Eat antimatter, Posleen-boy!
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