I looked at the XF86Config file on the machine with the working mouse. It read as follows:
Section "InputDevice"
Identifier "Mouse0"
Driver "mouse"
Option "Protocol" "Microsoft"
Option "Device" "/dev/ttyS0"
Option "ZAxisMapping" "4 5"
Option "Emulate3Buttons" "no"
EndSection
Section "InputDevice"
Identifier "Mouse1"
Driver "mouse"
Option "Device" "/dev/input/mice"
Option "Protocol" "IMPS/2"
Option "Emulate3Buttons" "no"
Option "ZAxisMapping" "4 5"
EndSection
The machine with the mouse problem had the "Mouse0" section with a line that said:
Option "Device" "/dev/mice"
I changed it as above but it made no difference.
I then tried a generic unbranded serial mouse from my third PC and it worked fine.
When I said in my previous post that I had used the same mouse on my second machine, it was actually an identical Microsoft Serial Mouse 2.1A, bought from the same store at the same time.
I next unplugged the working Microsoft mouse and plugged it into the machine with the problem. Result: mouse works!
On looking closer, the working mouse is made in Mexico and the non-working mouse is made in China. They both work fine in Windows, but Linux seems to have a problem with Chinese mice!! Who can explain that??