Thank you!  I just Googled the variable you pointed me to (split-width-threshold), and instantly turned up the Emacs 23.3 page at http://www.gnu.org/software/emacs/elisp/html_node/Choosing-Window.html, which describes the function display-buffer.    display-buffer is described as "the basic facility that chooses a window to display a buffer in."  This sounds like exactly the function I was looking for.  The documentation shown when I run M-x describe-function display-buffer in 21.3 doesn't contain any mention of a variable named split-width-threshold, which is pretty strong evidence that that feature wasn't added until some later version.
Mark
On 8/23/2011 7:34 AM, Bernardo wrote:

After I type "o" it used to look like:

    +-----------------------------------------+
    |  Dired buffer                           |
    |  ...>file #1                           |
    |  ... file #2                            |
    |  ... file #3                            |
    |  ... file #4                            |
    |                                         |
    +-----------------------------------------+
    |  This window now displays the contents  |
    |  of file #1.                            |
    |                                         |
    |                                         |
    |                                         |
    |                                         |
    +-----------------------------------------+

BUT NOW it looks like:

    +--------------------+--------------------+
    |  Dired buffer      |  This window now   |
    |  ...>file #1      |  displays the      |
    |  ... file #2       |  contents of       |
    |  ... file #3       |  file #1.          |
    |  ... file #4          |                    |
    |                    |                    |
    +--------------------+--------------------+
    |                                         |
    |                                         |
    |                                         |
    |                                         |
    |                                         |
    |                                         |
    +-----------------------------------------+


setting the value of split-width-threshold variable to a larger value might help;
maybe something like this will make a difference:
(setq split-width-threshold 300)