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I have an Asus MeMO Pad HD7, 1280 x 800 resolution, and even with my crappy eyesight, reading on it is fine, very clear. I broke down and got it for a PDF I had to proofread. I use Moon+ Reader on it. I paid $99 for it and I'm very happy with it with that purpose.
I agree with ottdmk though, that if you're going to be using it primarily to read on, an e-ink screen would be much better... better on readability and much better on battery life.
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