> So you are really saying that typing
> "I have got £100 to spare"
> is OK, instead of:
> “I have got £100 to spare”
> (just as an example, of course).
> Really?

Yes, really. HTML as SGML application has so called document character
set, which is UCS
(Universal Character Set,ISO10646). You can think of it as a huge
(tens of thousands) list of
characters where each character is identified by an integer  number,
so called code point. This
list is identical to that of Unicode so if you pick any character in
Unicode and then look up the
character with the same code poin in UCS they will be identical.

Document character set should not be confused with your html file
encoding, which for historical
reasons is specified using "charset" attribute. Basically encoding
tells how to convert bytes in
your document into characters.

Let's say your have a byte with numerical value 200 (C8 in hex) in
your document. If your
document has encoding ISO885-5 that maps into cyrillic letter "Ш". If
your document's encoding
is ISO5589-13 that will be the letter "Č". Browsers are supposed to
map known encodings to
document character set, where "Ш" is code point 1064 (0x0428) and "Č"
is code point 268 (0x010C).

Let's suppose that for some reason you want to have "Ш" in your
ISO8859-13 encoded document.
You cannot type it in directly, because this character is not in your
specified character set. Character
entities to rescue—they let you specify character from *HTML document
character set, UCS*.
This is important and some mistakenly think that character entities
map to the current encoding
(I think some old browsers did indeed do that, but that's a bug). So
È won't give you "Č" in
ISO8859-13 and won't give you "Ш" in ISO8859-5: in both cases you will
get character which has
code point 200 in unicode/ucs—"È".

So that's where character entities are useful—you can display UCS
characters which are not available
in your charset. If you are using unicode encoding there is not need
for that, just type the character.

For more info see:
http://www.w3.org/International/questions/qa-what-is-encoding
http://www.w3.org/TR/html401/charset.html

Regards,
Rimantas
--
http://rimantas.com/


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