Photoshop CS and Raw images

A couple of quick questions.

I have a 10D and I shoot in RAW most of the time with the colour profile set to Adobe RGB. Having downloaded the pictures using Zoonbrowser, I use Photoshop CS and its File Browser for opening or batch adjusting etc the RAW pictures.

I have noticed that when I open a RAW image from the File Browser that the contrast, sharpness (and a couple of other) sliders are already up at 25. As far as I would have assumed, setting the colour profile to Adobe RGB would have set the contrast/sharpness etc setting on the camera to zero (so there should be no sharpening etc at all from the camera).

So the questions are:
1) Why do the RAW images appear to have been sharpened/contrasted etc when first opened when I do not think the camera is doing this?
2) If the image is shown as sharpened etc in the RAW window from the File Browser, are these sharpening/contrast etc adjustments made using Photoshops algorithms?

The main reason for asking is that I prefer to use Photoshops sharpening etc rather than the cameras.

Thanks

1) This is the Camera Raw default settings.
If you wish to change the default settings you should;
1- Change one of the settings eg. sharpness.
2- Left click on the small round button to the right of the settings drop down list.
3- Left click on set camera default.

Or you could save these settings and give them a different name and load each time you run Camera Raw.

2) I would guess Photoshop algorithms, but I honestly don't know.
I'm sure someone will be along with the answer shortly.

Cameron