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I guess that depends on which "classical" algorithmic problems he is referring to. The field of "algorithms" is like an infinite sea which will never be fully explored; there will always be more algorithmic problems for which no library is available.

For example, last year I worked on a software package which was intended to match clothing automatically to form outfits. The client was a fashion consultant; the software had to duplicate what he did in his day-to-day work, algorithmically. You won't find that one in "The Art of Computer Programming"! (Or in any library, for that matter.)

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