The "Arcs" preferences (in menu File / Preferences..., "General" section, "Arcs" tab) lets you control the arc creation process. It does not affect existing arcs: they have already been created.
The top part of the dialog allows you to set defaults for specific types of arcs . You select the "Arc Type" and then set defaults for it (such as the "Default width").
The "Placement angle" is the granularity for running this type of arc (in degrees). A value of 90 lets arcs run at 0, 90, 180, or 270 degrees: manhattan geometry. A value of 45 lets it run at any of 8 angles (useful for schematics). A value of 0 lets it run at any angle (used in artwork).
The "Pin" is the node that gets used for connecting two of these arcs. It is typically a "Pin" node (see Section 7-1-1). If changed to a node with geometry (such as a contact node) then these contacts will be placed at the bends of this arc.
The checkboxes in the "Default State" section have these meanings:
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The bottom portion of the dialog has controls for all arcs.