I got the latest code last night via Update Manager and this problem
still occurred.  I took the advice of another post here and I ran sudo
apt-get install compiz.

Of course compiz was already installed BUT according to apt-get there
was a few files that did need to be updated.  Once  that was complete,
and I logged out and back in, everything worked just fine.

-- 
Gnome Appearance Properties dialog hangs when changing desktop effects
https://bugs.launchpad.net/bugs/554106
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