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In this video tutorial, the instructor covers how to create and modify lists in Microsoft Word 2016. They demonstrate how to create bulleted and numbered lists, as well as how to modify lists using tab stops. To create a bulleted list, the instructor highlights the desired lines, goes to the Home tab, and clicks the bullet button in the Paragraph group. To change the bullet style, they click the button next to it to access various options such as recently used bullets and the bullet library. With these steps, users can customize their lists with different bullet styles.