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Used bookstores seem to do OK. Unlike most e-book evangelists around here I'm not a fan of buying ebooks due to the hated DRM. I frequent my used bookstore plenty and they seem to be doing OK.
I can see why new bookstores are going out of business - hard to compete with online. Amazon / B&N is tough competition. We haven't had anything in a city of about 20k except B&N in at least 4 years - the last Waldenbooks closed at that point.
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