"How does one get the glass effect under Vista Home Basic while using WB 5.5?"
You can't just magically turn on aero's glass windows in windowsblinds. If you have vista home basic or your GPU has no WDDM drivers, you can't get it.
"Home Basic has a very basic Aero. It is Aero without glass, taskbar previews, animations and flip 3D."
Vista Home basic has no aero. all those things you describe are aero. If you go and change the themes in winXP, you see "Windows XP" and "Windows Classic". If you look in vista home basic it has "windows vista basic" in the place of "windows XP". If you look in other versions of vista you get "windows vista standard" and "windows vista aero" in the list as well. These are not in home basic.
However...
It is pretty easy to find a small registry tweak on the internet (i won't help anyone do it, it's probably not legal) that enables "windows vista standard" and "windows vista aero" in that list on home basic as long as you have the right hardware (GPU with WDDM drivers).
There are windowsblinds themes out there to look like vista, and some include "glass windows" even without WDDM hardware. It won't be the same as vista's ones, it'll have lower performance and will probably mess up lots of other aspects of windows as all windows blinds things do (am i right in thinking turning off some features in windowsblinds won't return it to the original vista things, but will return it to "windows classic" for that windows 2000 effect, as it does in XP?). Also these vista immitations are not entirely what one might call "legal" and in particular "VistaXP by ~KoL" has been purged from the whole internet (including wincustomize.com). There are lots of similar ones out there.
I've yet to see any windowsblinds themes that are entirely bug-free. If I can get a theme to change just the window border (or whatever it's called) to a glass effect* without destroying the start menu, fonts, etc. I might upgrade to vista and use windowsblinds. Unfortunately, I can only deduce that WB is a poor product or theme authors are devoid of talent or education as all WB themes are absolute crud.
There are binaries for other aspects of aero, (like sidebar, taskbar thumbnails) but they're very low quality.
*I would pay for something with aero even though it doesn't work on my hardware, so I see it as totaly acceptable.