[varjag]

Sure, but just as you demonstrate you have fewer distinct characters when you use diacritic than when you don't. And arguing whether Е and Ё are same character with diacritics, or just different letters that happen to have diacritics by the virtue of canonizing in alphabet is really splitting hairs. They serve same purpose, in the same circumstances, with the same visual arrangement. Quacks like a duck etc.