Since ' in text-mode has syntax "w p", it means that a ' after a word char
is considered by capitalize-region as being a word-char, whereas a ' after
a non-word char is considered as a non-word char.
That is enough for capitalization, but not enough for the other uses.
We would want to set it up so that a "w p" character acts as a word
character when surrounded by two other word characters.
Moreover, as Nick Roberts pointed out, it's simply impossible to
disinguish reliably between an apostrophe at the end of a word and a
closing single-quote.
In any case, we should not change any of this now,
so please let's drop the thread and focus on what
we need to fix.
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