>> My question was probably not precise enough: I wonder why auctex
>> doesn't set the buffer encoding also (derived from the master
>> file's local variables), given that auctex itself generates the
>> *xxx output* buffer.
>
> Because the output buffer *xxx output* rarely needs to be saved in a
> file. That buffer is only used for receiving outputs from TeX (and
> some related programs such as makeindex), so AUCTeX just sets the
> coding system for the process communication explicitly, leaving
> `buffer-file-coding-system' of *xxx output* untouched.
OK, thanks.
Werner
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