Absolutely. Paper is always going to be more papery than stuff that's not paper.
The real advantage to ebook readers (and I love my kindle) is the ability to so quickly and easily browse so much different content. I can sit down, decide what I feel like reading about and then start reading a book on that topic. If something sparks another interest, I can do a search for books on that topic, download free samples, and read those--that to me is the real advantage of the ebook reader. Plus there is a lot of free content available as well. Also, its really nice to have an entire library with you at all times. Finally, the annotations web page kindle has set up is great--it stores all your highlights online from a single web page.
I know some people are belly aching about their ability to cut off stuff, kill switches etc. but I mean really--give me a break. There have been a few instances of those, if you are worried about it fine, then stick to the paper, but for me the advantages far outweigh the slight chance I am going to have Big Brother pull the kill switch on me.