Page Type vs Page Template

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yes I've read the new docs but are very limited. I know and use of course page types...well, as they were in 5.6 but seem to be 'renamed' page themes now. So that's a little confusing to remember but get it. I'm not understanding what a page type is now that it is different than before. How and where it is used. A practical explanation or short 'example' will be more helpful than more theory.

Trying to see if they will be helpful or to be ignored as I was doing just fine before with customizing, etc.

Thanks!