Edit the file /Users -> your_username -> Library -> Mozilla -> Profiles -> default -> random_number.slt -> localstore.rdf. Change (around line 55) the height and width from 0 to something like 100. This is a known bug by the mozilla.org folks. This is the best workaround because it saves all your profile data, bookmarks, etc.
[Editor's note: Mozilla 1.2b doesn't exhibit this behavior, at least on my machine.]

