Right now, I use StarOffice Writer (the commercial version of OpenOffice.org's Writer). I chose it over Microsoft (MS) Word because of my dislike for Word and its cost (the entire StarOffice suite cost less than one component of MS Office). Also, I've found Writer to be a very good word processor, it's not as powerful as MS Word but it does just about everything that I need to do when I write.
If you need to convert your MS Works documents into another format, StarOffice will open the files and allow you to save them in other formats. In addition to MS Works, it will also open a large number of formats, including many legacy formats (going back to WordPerfect 4.1, WordStar 3.3, and MS Word 3.x).
Another word processor I can recommend is Jarte. It uses RTF as its native format (it's also a very good text editor) so its documents can be opened with just about any word processor. It's best for the kind of writing that doesn't require elaborate formatting and it has an interface that doesn't get in the way of your writing.
It's available for free (there is also a paid version called Jarte Plus that has a few additional features) and its worth a try. I liked the program so much that after using it for a few months I purchased the paid version.
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