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The video tutorial discusses the concept of paragraph text and how it is similar to character text. It explains that formatting options can be applied to paragraph text by gathering words and letters into one space. The tutorial demonstrates how to create a type box by clicking and dragging the type tool, changing the font to Minion Pro, and adjusting the font size to around eighteen points. It also mentions typing a couple of paragraphs but offers to skip the process for the viewers' convenience.
