Comparing the specs, the Kindle has some plusses, but the screen isn't one of them. The screen on the Kindle "Basic" is the exact same as your Touch.
If you're looking for a bit of an upgrade, I'd consider the Kobo Aura which is now only $99, $20 more then an ad-supported Kindle Basic. Or, in other words, if you wanted to buy an ad-free Kindle, you could get the Aura with a better screen plus a front light for the same price.
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