Source or speaker

From my experience, admittedly limited to the less than uber expensive realm, you can't polish a dull recording into gleaming beauty by any means. Your ultimate potential is also limited by the weakest link in your audio hardware chain. A speaker system that interfaces well with your listening area is the place to start. Perhaps the lack of that is what makes most equipment demos sound crummy in audio shops and shows. Unlike Bob, I have found significant (to me) differences in solid state gear and digital playback. Certainly not differences of the magnitude you get with speakers though. I do think that room acoustics are the most overlooked aspect. A mid level system in a room with great acoustics is much more satisfying to me than a finely resolving hi end system in a room with poor acoustics.

Perhaps "when the signal is there," it's the recording, not the playback medium. I find recording quality is far more important than LP or CD.

And speaking of a distortion perspective, consider the contributions of the stylus, cartridge, platter and drive mechanism of a TT. Takes a lot more effort to get it right.

Let me pile on with Photon46 and disagree with Bob's contention that there's little difference among solid state pieces and among digital pieces. The difference are actually very large.

However, at the lower end of the price range, Bob assertion has more validity.

Dave

From just a distortion perspective, speakers do several orders of magnitude more damage to the signal that decent electronics. Factor in room interaction and it's a no- brainer where the emphasis needs to be.

I quite agree - it is a no brainer really. I would certainly NOT recommend to spend as much money on Interconnects/Cables as on the speakers/room acoustic treatments.

Most speakers have $100 wholesale mass produced drivers - you are paying almost entirely for veneer and cabinet work in most cases. Drivers are what actually makes the sound in many $50K+ systems...yes really... several $100 transducers powered by $1000's of wires and 10's of thousands of dollars of source and amplification.

Imagine if just a little more money went into the quality of the speaker drivers and into room design/acoustics instead...a scary thought.