I have seen the white-out-on-Increase-size in many apps, including
Banshee, Movie player (Could not go full-screen), and Firefox.

I saw an Internet board  posting that said this works if you revert to Version 
173 of the Nvidia (Additional Driver).
(Needs reboot).
I have done that, and so far so good - Window resizing seems to be working!

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https://bugs.launchpad.net/bugs/773582

Title:
  Windows blank to white after being resized larger

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