Reading from an RC remote stick's potentiometer

Hi!

I've encountered some problems involving my attempt to read from the potentiometers of one of the sticks on an RC remote.
The pot has 3 pins (Red, Yellow, Black). I've connected red to 5v on the arduino, yellow to an analog pin and black to ground. The yellow one is also connected to ground via a 10k Ohm resistor.

Ideally I would want a the voltage to increase and decrease linearly. However, the readings I get are at 4.2V idle, 4.1V min and 4.33V max. I'm probably solving this by software somehow, but I'm not sure how I would map it, since all I can really tell is what the voltage is at min, idle and max.

The second problem is i find the precision could be higher. My first thought of a solution is to have the voltage offset and amplified to better map to the analog inputs. But how would I go about and do this?
i.e. bring the current range of 4.2-4.33V to say perhaps: 0.5-4.5V?

Can you post a drawing of the schema??

Kniben:
The yellow one is also connected to ground via a 10k Ohm resistor.

Here is your issue: you are altering the voltage bridge effect of the potentiometer.

I would recommending comparing your circuit to the following example: http://arduino.cc/en/Tutorial/AnalogReadSerial. It covers the correct way to connect a potentiometer circuit and show how to read it.