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I feel the opposite, that the novel, being longer and with more payoff, killed the short story. I think publishers see story collections as music albums, with a few good stories surrounded by filler; most readers don't go past the first few, either, with nothing to pull them to the next story, re-investing in new characters every half hour is too much work. Magazines don't carry them either. Hopefully the eReader can give them them the market they deserve.
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