Why dont you try printing it out and see if it's still jagged? It is possible that it's got something to do with the monitor/video card. The only time I have ever seen this is when something was raster. Often times there are either filters or effects that are applied that make the image a raster, could this be possible?
This is happening WITHIN Illustrator right? You are not exporting to other programs via Illustrator or importing into Illustrator from another program?
Maybe with a little more info we can help
This is happening WITHIN Illustrator right? You are not exporting to other programs via Illustrator or importing into Illustrator from another program?
Maybe with a little more info we can help