I prefer e-books for most things, as 99% of books I'll only read once.
I prefer paper books for a select few that I love and re-read every few years.
For my academic work, I've stuck with paper books and printouts of articles as I need to be able to highlight and jot notes in the margin. But I'd be open to switching there once there are some tablet devices out at reasonable prices that make it as easy to highlight and annotate with a stylus as it is with paper and pen.
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