I liked the skill books since it was clear & plausible how one would learn something by reading it and put nicely in context of a story. In a way it was very similar from how skills are learnt in Gothic 3, where one needs to talk to a trainer that shares some of his wisdom, except it is put in book-form. Collecting books was one of my favourite pastimes in Morrowind - their point is largely to make players that are interested more acquainted with the lore & history of the world, so it's logical that they wouldn't be short & succinct. Oblivion... totally fails when it comes to books. Only interesting, new book I can remember is one dealing with vampire lore.
I think an entire new ES game could be made based on "The real Barenziah" or "History of the Wolf Queen". Oh, and I want the stuff that the guy (Michael Kirkbride) was smoking when he wrote "36 lessons of Vivec". I can only thing of one other game that allowed the player to read books in such detail, and that's The Longest Journey.
As for Fallout, I would definitely want item descriptions back. It really helps fleshing out a game world. I'd even go one step further: make FO3's skill books like "Duck& Cover", "Dean's electronics" and what not, actually readable like in Morrowind. I was disappointed first time I clicked a skill book in my PipBoy that there merely was a lame message popping up that said "Your skill increased 1 point"..