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There are two environments for quotations: quote and quotation. quote is used either for a short quotation or for a sequence of short quotations separated by blank lines:
\begin{verbatim}US presidents ... pithy remarks:
The buck stops here.
\par I am not a crook.

Use the quotation environment for quotations that consist of more than one paragraph. Paragraphs in the input are separated by blank lines as usual:
\begin{verbatim}Here is some advice to remember:
novel applications of existing

Kevin Cooper 2002-03-01