The 4 1/2 angle grinder 5/8-11 spindle 7/8 arbor adapter.
The cut off wheels lay too flat. I do not see any arbor adapter in the box.
To elevate the wheel so it will not bind and rub. Something is missing. Did I
Buy the wrong cut off wheels?

See picture

You bought cut off wheels, and not grinding wheels. Those are used like a saw blade... not like a sanding disk. The kind you want will have a dished center section, are much thicker, and many have the arbor adapter built in. Others use the adapter you have. Look for "Depressed center".

Here are some pictures...

http://www.google.com/images?hl=en&safe=off&q=4+1+2+grinding+wheels&bav=on.1,or.&wrapid=tlif129840610021010&um=1&ie=UTF-8&source=og&sa=N&tab=wi&biw=1230&bih=836

Thank you. My old cut off wheel was thicker and raised.These are very flat. Unless
I find an adapter, they are worthless.

You did buy the wrong wheels, thin cross section cutting wheels for that style grinder will have a threaded nut already attached to them.