I made it through 6+ years of college taking notes on pen and paper. It was always allowed.
I never had to write very fast, because I am intelligent enough to realize that transcription ≠ learning.
Come test time I can copy my notes to a digital format if I want as a method of studying.
Notebooks don't get lost if you don't lose them. Also, it's not as if your hard drive can't die.
No they don't?
Personal preference, I guess.
1. Easier to read, because I have legible handwriting.
2. Easier to revise, add to, correct, etc because my pencil has an eraser and it's quicker to navigate to the area that needs revision with my hand instead of a cursor.
3. All subjects are in the same place.
4. I, like many people, write faster than I type.
5. Again I'm not really sure how "harder to lose" is an argument. Care to quantify that statement? Say your hard drive dies. Is that any better or worse than losing a notebook? Given #3 you've also lost everything else, not to mention your music, pictures, applications, etc.
Besides all of the practical advantages of pen and paper, listening to someone type away on their laptop is just annoying. Unfortunately I've been in lectures where everyone uses a laptop... I don't know how they can hear the lecturer over the din.