Certainly not. LaTeX is for writing, not for document formatting. LaTeX gives you content to feed into a real word processor.
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Neither of those programs is a word processor.
I entirely agree that LaTeX is not a word processor. I think it's best described as a markup language, and as such the formatting is implicit - 'this is a figure, this is a section heading, table of contents goes here' etc.
I think EraserHead was right though - I simply would not want to try and write up a thesis in Word (at least, in the 2004 Mac version - I haven't tried 2007+). There are several reasons for this - top three:
1) Equations in word are painful to write, and look awful. Having to use their little built in editor thing drives me up the wall as it requires you to click through tabs and drop down menus just to write a single mathematical symbol. With LaTeX no such fiddling around is required, and my fingers never need to leave the keyboard at any point.
2) Figures & Formatting them is also fantastically irritating. Throw an image into a word document (which seems to have some big bones about including most vector graphics formats), only to have them disrupt the text in horrific ways and move about the page of their own accord.
3) Cross-referencing within a word document is fantastically poor. Sure maybe I have to call pdflatex/bibtex a few times to get it to work, but the only way to get a reference to update itself in word, according to the documentation is to select it and hit F9 or something, and the only way to update ALL references in a document is to select EVERYTHING and do it. In a document that runs well into the hundreds of pages, this doesn't sound like fun. Spreading this across several .doc files... doesn't sound fun at all.
I could go on. LaTeX has a pretty tricky learning curve, it must be said. But once you've got over it.... well, I hope I don't have to go back to using Word full time...
As a final point, I am told that the Equation and referencing in Word 2007 is much improved over previous versions, and modelled on the way these things are done in LaTeX no less. Whether or not it is actually usable, we shall see.
</rant>