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This article is a good primer on the basic techniques used to make rounded corners with CSS, but as alluded to in the article and in some of the previous comments, there is still room for a lot of improvements.
In the meantime, if you’re looking for a much better (and more complete) solution than this article provides, check out the following resources:
Transparent custom corners and borders
MochiKit Rounded Corners
These should be enough to get you going. If I’ve left out any other good ones, let me know.