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For example is "milan-kundera-novel.com" better than "milankunderanovel.com" for google's purposes, or will google find the words in both of them. If so, what about"zmilankunderanovelz.com"?
Any thoughts?
The other side of the equation is that you have to think about your customers. People scan very quickly, if they cannot instantly determine that the url might be what they are looking for, chances are they will bail. In order to quickly help your customers determine if your site is what they are looking for, you should make every effort to make it readable.
Unless you are just trying to brand your name and don't care about real customers, then you need to do everything to narrow down your potential customers quickly. One way to do this by having the url help identify what you do.
Hope this helps.
I also think that across the spectrum of search engines hyphenated is more effective than not.
The other wayout can be to register both domains and forward the one without hyphen to the one with hyphen.
Also don't host or submit the other website (without hyphen) to search engines, just to stay clear from any spam problems. In fact many domain registrars provide free url forwarding. (like stargateinc.com)
On a personal note: Hyphen certainly yields better results in google :)