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well, having blogs entirely on rss feeds is not pretty good if you use just 1 rss feed for it. better use atleast 2 different rss feeds for feeding a single blog. this way your blog looks with more variety and is more likely not to have penalty for duplicated content. Its always good to try to put on these automated blogs and some other content from time to time..
as about the 100% automated blogs, you can mostly use them as feeders, that grab fresh traffic and circle it inside your blogs network and tunneling it to your quality hand updated blogs..
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