The document discusses the importance of characters in short stories. It notes that characters are the actors in a story and can be people, animals, or other entities. The protagonist is the main character, while the antagonist is in conflict with the protagonist. Characters are important as they drive the plot through their actions, help readers relate to the story, and provide perspective. The document discusses how authors develop characters through direct and indirect characterization, including through appearance, dialogue, private thoughts, and actions.