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Shooter is correct on all points, hopefully our differing opinions haven't confused too many. I'd suggest applying to BOTH PhD and masters programs. If you get a doctoral offer you like, run with it, if not, take a year or two and knock out a graduate degree.
In hindsight I was foolish to focus solely on PhD programs. I lucked out, but wouldn't recommend others to take the same approach. Cover your tail, apply to multiple types of programs; nobody ever complained about having too many offers.
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