The addon 'Dynamic View Distance' (DVD) is great, it allows you to set a minimum, preferred and maximum view distance and FPS. It also allows you to configure other options so when you use binoculars or jump inside aircraft your view distance increases. Check it out: http://www.armaholic.com/page.php?id=13304
Yes, early on with Arma 2 I used DVD, a very good mod. I also used MWVD (mouse wheel view distance) for a while but didn’t like it much..
I have Arma 2 running really smooth on reasonably high fps, so I find that IVD is nice if you just need to tweak occasionally.
DVD is great if your battling fps problems as it automatically alters to suit fps.
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