RESOLUTION
To resolve this issue, use either of the following methods.
Method 1: Wait for Setup to Complete
Because Setup only appears to stop responding, you can wait, and eventually the installation will be successfully competed. No intervention is required. Setup may be slow to complete. Allow the setup process a few minutes to continue and complete successfully.
Method 2: Install Windows Installer 2.0
This issue does not occur if the Windows installer has been installed. Therefore, to resolve this issue, install Windows Installer 2.0 for Windows NT 4.0 and Windows 2000. Windows Installer 2.0 supports Windows NT 4.0 with Service Pack 6 or later and Windows 2000.
To download Windows Installer 2.0 for Windows NT 4.0 and Windows 2000, visit the following Microsoft Web site:
If you are using Windows 2000, you can also choose to install Service Pack 2 for Windows 2000, which includes the updated Windows Installer.
For additional information about how to obtain the latest Windows 2000 Service Pack, click the article number below
to view the article in the Microsoft Knowledge Base:
260910 How to Obtain the Latest Windows 2000 Service Pack
Troubleshooting
If the information in this article does not help you to resolve this issue, click the article number below to view the article in the Knowledge Base:
296174 PRJ2000: Error Message When You Install Microsoft Project