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Myth is a dramatic narrative of critical events, historical or pseudo-historical, which functions to assist the individual or society in ordering their present experience. Myth imposes meaning on events. History and myth are not necessarily incompatible. The historian may create myth in the very process of writing history. On the other hand, the events which the myth recounts may be pseudo-history. But more than likely, in the case of contemporary myth, the narrative -- though referring to a series of events which did occurr -- selects, organizes, and interprets these events in a distinctive manner.
Liebman, Charles S. "The Myth of Defeat: The Memory of the Yom Kippur War in Israeli Society." Middle Eastern Studies 29.3 (1993): 399-418. Web. 28 Oct. 2009.
(Anyone else kind of bewildered by the new 2009 MLA standards? Yeah, me too. I actually have to use APA for this class, 's just that I know MLA better.)