of course. this is one of the biggest reasons not to go for budget segment desktops from branded companies. they do not put in a good quality SMPS. you might have been lucky with an Alienware or VoodooPC.
frankly speaking a good quality SMPS would cost you as much as the budget you have for your graphics card i suggest saving money and getting a console instead. desktop gaming is an expensive habit.
What resolution do you intend to game at. 1440x900 or 1650x1050 at best is possible within your budget. For higher resolutions you will have to increase your budget.
In your budget the optimal choice seems to be the ATI 5670 (now 6670 out, but actually the same card) or the Nvidia 240GT. Another option is the 9800GT (equally powerful, but since its an older card its a little cheaper and offers more value)
Post your PSU specs. If its a quality 400-450W PSU and the ATI 5750 prices have come down to within your budget, it seems to be the best bet.
5670 and 6670 are not same cards , you can see the difference between them in this chart
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