Nephi, realizing the importance of the question, perhaps even more than we do, explained to his brothers, that the prophecies were given by the Spirit, and that they pertained to both temporal and spiritual things, but that they were to be interpreted literally. Israel would be scattered (v. 3); some of the tribes would be lost to view to the rest of the world (v. 4); but they were to be "nursed by the gentiles" and again be remembered under the covenant with the fathers (v. 6). This is all to be understood literally.
Thus the question is completely and intelligently answered by Nephi. The words of the prophets, although referring to things both spiritual and temporal, are to be understood literally; unless, I think we may add, they are clearly shown to be used allegorically or figuratively, as for instance the "tree" and the "iron rod," etc., in the dream of Lehi. But let us note that the literal meaning of the word is that which it had at the time of the author, and as it was used by him and understood by his contemporaries, not as it is used and understood in our day, if the meaning has changed, as may be the case.
As an illustration: We read in Rom. 1:13) means "hinder." It is therefore clear that to understand even a translation not older than the authorized English version, it is necessary to be sure of the meaning of the words used at the time of the translation. This is just as important, and a great deal more difficult, when the question is of the original manuscripts.