I accidentally removed the Library folder from my home folder, but when I tried to replace it I had a message saying that there was a newer version of library and did I want to replace it with the older version. I declined but now I find that I have lost all my user settings. They obviously are residing in the Library folder sitting on my desktop, but how can I get them back into my home folder?
I think that if you remove your user library, your Mac will create a new one - it can't manage without it. So the one you removed will of necessity be older than the one created to replace it. I think therefore that you should be expecting to replace the newer version with the older one. You accidentally dragged your user folder to the desktop did you? I bet that's from using Lion with these pesky track pads instead of a good old-fashioned mouse ;-)
Unfortunately I was not able to move the Library folder back, when I tried again it said that it could not. I tried using Time Machine to restore the user folder as it was yesterday, but this did not have the desired result either. Fortunately I had a recent clone on my external drive so I was able to copy the clone back to my main hard drive and order has been restored. Good old Super Duper. I guess the Library folder is hidden in Lion just for such accidental mishaps. Yes Mick I was using a trackpad at the time.
One additional snag was that the super duper clone predated my download of Lion and so it was no longer in my Application folder. As I have not yet upgraded my iMac to Lion this could have been a pain, but I had taken the precaution as Euan suggested of copying the installer to an external drive Phew!
You cannot copy the Library folder, but you should be able to copy back its contents bit by bit.
***WARNING*** Copying the wrong contents could upset your existing Apps like Mail...
so do so selectively and with knowledge of what you are putting back.
Anything in the Preferences is generally the least risky... the rest requires a little forethought.