I think it is a generational thing, as I've said before. Personally, I adore libraries. My husband has been known to suggest I go to the library when I'm down because he knows how happy it makes me just to be amongst all those books.
That said, I do do a lot of research online. Just yesterday I downloaded part of Carlyle's 19th century book on Frederick the Great from Gutenberg. I spent half the afternoon formatting it, then printing it to a PDF.
I still need a decent ereader though. Ebooks (fictional) are fine to read on my Palm, but for PDFs (non-fiction) I need something I can annotate on the go. Not sure if that even exists yet.