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Okay, I now have 2 Kindles side by side myself- 1 Kindle Touch, 1 Kindle wifi. Here is what I see-
The backgrounds are virtually indistinguishable (in brightness and color), but the Kindle wifi has more contrast. Not a lot, and if they weren't side by side I might not know for sure. But it is a bit better. This is after setting the Touch to do the refresh thing on every page turn.
That being said, I am sure that there is variation from unit to unit, so I doubt this is indicative of how all the models are.
The touchscreen is definitely more versatile, but in terms of practical UI usage (which is basically just turning pages 99% of the time), I prefer the hard page turn buttons overall. You don't have to be as careful when handling the Kindle, and while the slight pause between page turns is the same on both units, you know when you've clicked the hard button so there's less hesitation on my part.
But both units is great, I would really be perfectly happy with either.
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