if the input of the next component is balanced and not referenced to ground (e.g. transformer coupled), I don't understand why it is necessary to decouple the output in the source component from any ground reference to achieve the full benefits of balanced connections. Can you please help me understand. Thanks.
@jaytor Part of the issue driving interconnect cables is how the signal travels in the cable. When the shield is part of that connection, its more likely to pick up noise and the actual construction of the cable (what sort of insulation it uses and so on) becomes more critical. That shield is connected to chassis ground at the input of whatever is being driven- so now you also have the possibility of a ground loop too.
So when the source is referencing ground, such as a pair of single-ended outputs, one of which is out of phase with the other, you have a problem where the ground circuit return is active in the shield of the cable. Suddenly the dielectric in the cable is playing a role that it did not when the shield was only used for shielding with no signal on it.
It is precisely this problem which is why there are 'high end audio' balanced line cables now that might cost up to $1000/foot or more (put another way, most 'balanced outputs' on 'high end audio' equipment actually references ground as if the designers were not aware of the balanced line standard)! If the connection is done properly, you won't be hearing the sort of differences between cables that might convince someone (who might have a touch of audiophile nervousa) to spend that $1000/foot.
I'm saying that an inexpensive cable can sound just as good in every way.
The proof of this is the vast number of recordings that were made in exactly this way- proper balanced outputs and inputs. Its part of why you could have 150 feet or more of interconnect cable between a microphone and the input of the tape recorder in 1958, nearly 20 years before Robert Fulton showed off his first 'high end audio interconnect' cable, yet the resulting recording just gets better and better as you improve your system's ability to winnow more information out of that recording. That can only happen if the cables used to make that recording are absolutely transparent!
Put simply, you have to dot your 'i's and cross your 't's if you want this system to work properly.
But let's look a bit closer at that balanced source that references ground. It may well be rack mounted in a relay rack and through that rack its chassis is grounded to every other bit of equipment in the rack or maybe even in the studio. Some of that equipment might be on the input side or the output side. So a ground loop could easily be introduced!
You might think that because you're not using a 7' tall steel relay rack at home that you won't have that problem, but keep in mind that the equipment is also grounded into the wall. That's where you get in trouble: you must be sure that ground is ignored with both inputs and outputs; that ground is only used for shielding in cables and never for any kind of signal ground! If you don't do this, the benefit of balanced operation is eroded. It was designed so that exotic cables aren't needed and grounding issues are eliminated.
Think about the advantage of having cables that sound as good as the best out there price no object, but not having to pay that price- for all the interconnects in your system, you might have only a few hundred dollars invested at the most, rather than $1000s or $10,000s. And they don't go out of date or any such thing...
