These tricks gave me some cool ideas. I wound up going with a modified approach and settling on a slightly different outcome. In stead of circling the word in question when clicked, this method will highlight it.
Here is the updated demo file: https://dl.dropbox.com/u/98780114/ClickToHighlight.fmp12
The first example is not printer friendly. It's definitely a work around but it was part of the evolution to the second example, which is great. It's a clean looking and graphically flexible alternative to the check box / radio button style value list (ie. not confined to rows and columns). It's a great option for forms where custom placement of individual value list items is desired, it prints properly, scales much easier and it's leaner in it's assembly than the first option.
Ease of assembly is the goal here. I'll continue searching for a way to make this as copy/paste friendly as possible. If anyone has ideas that use "self" referencing calculations to help cut down on button calc modifications, please share.