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I'm not certain where the author lives, and what he says may be true for his area, but many libraries do offer loans on e-books. In the Cleveland area both the Cleveland Public Library and the Cuyahoga County Library (which use the same card) offer e-books in both pdf and Mobipocket formats. At last check there are about 5,000 books available for download, and that doesn't include the audiobooks.
The last several books I bought at Fictionwise (with the exception of a couple that have been just released) are cheaper than mass market paperbacks.
To me, at least, this makes the credibility of the rest of his arguments questionable.
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