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I use DragonDictate Ver2.01 almost exclusively for any serious typing.  I
can manage about 15    wpm with essentially no errors by correcting as I go.
I have tried DragonDictate naturally speaking and although I think it holds
great promise for the future, the error correction mode seems cumbersome.  I
dictated these first sentences at a brisk clip of 25 words per minute.  Even
at 15 wpm it's faster than I can type with my fingers.  A significant
improvement was realized when I purchase a amplifier/switch from VXI
corporation.  HTPP://WWW.VXICORP.COM   This also allows me to use one
headset for both telephone and dictation.  This dramatically improved  my
recognition.

With regard to breathing, the positioning of the microphone is extremely
important.    I did get the best performance when the microphone is just at
the corner of my mouth, a little below and as close as possible.  The piece
of foam rubber that goes around the microphone helps to avoid noise which
results from breathing.