Yeah i'd agree with the "Magic is misdirection and misdirection is Magic". Then it gets complicated by saying what is magic! Heres my theory. Magic is being entertained on an
"impossible straight road full of tight corners". yeah it doesnt make sense, but the spec or audience are being lead down a path which is the effect and being led into beliving that something is going to happen, which it is, but just as you pull off the effect the direction is completly changed in what the spec had anticipated that it creates, then to think "hold on, thats impossible.
Or also like a really good Joke, someones telling you a joke and as its nearing the end your racking your brain for the punchline and its something you never expected. Same again with mental puzzles. Click here for 2 massive threads with some corkers.
http://www.talkmagic.co.uk/viewtopic.php?t=2510&sid=6a9e247571380fad5ab2b63504010155
http://www.talkmagic.co.uk/viewtopic.php?t=2547&sid=6a9e247571380fad5ab2b63504010155
In essence magic is not just one thing, its a mass of different things grouped together and presented to someone in a artistic way to bend perceptions, create wonder, shock, provoke thoughts and many more, think back to the first trick you ever saw, ill have to have a think about this one but i do remember how i felt, "FASCINATED"
So misdirection is one part of magic but only part of the bigger picture.