Found this on the New Yankee Shop Notes section.
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Cutting Dado's the hard way
Question:
Hi Norm,

I would like to be able to cut Dado's as you do on the show but I can't afford and don't have room for either a saw table or a radial arm saw.

I wondered if you had any suggestions as to how to cut neat accurate Dado's without having to resort to chisels and hammers? (I do have a combination chop saw)

BTW thanks for all the enjoyment the shows give us here in the UK.

Finally, I HAVE to know.... have you ever cut anything either too short or too long or that didn't fit? Seems unlikely to me!

Best regards

David Waters

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Answer:
If we didn't have a table saw equipped with a dado forming set, we'd probably resort to a router with a rabetting bit and a straight edge.

Once, many, many years ago Norm cut something too short. All eye witnesses to that event were put into the witness protection program. Thus we have no record of his ever making a mistake....really.