Hold up a short novel, for example -- that might amuse baby (8)
I believe the answer is:
peekaboo
'hold up a short novel for example that might amuse baby' is the definition.
The definition and answer can be both acts as well as being singular nouns.
Perhaps you can see an association between them that I don't see?
'hold up a short novel for example' is the wordplay.
'hold' becomes 'keep' (keeping is a kind of holding**).
'up' says the letters should be written backwards (in down clue: letters go upwards).
'short' means to remove the last letter.
'novel for example' becomes 'book' (novel is a kind of book).
'keep' in reverse letter order is 'peek'.
'book' with its final letter taken away is 'boo'.
'peek'+'a'+'boo'='PEEKABOO'
Can you help me to learn more?
(Other definitions for peekaboo that I've seen before include "Partially revealing" , "Peeping game" , "Childrens hiding game" , "Toddler's face-hiding game" , "Peering-through-fingers game" .)