A very interesting thread about distortion. It's really a subject that is hard to understand as there are so many aspects also related to our hearing and perception of sound.
To me it seems like if we in a playback amplifier add some low order harmonic distortion with a distribution similar to our aural harmonic distortion, this may be an interesting way forward. In a paper from Cheever, 1989 there is an interesting discussion about aural distortion and high order distortion. Both Cheever, Pass and several others agree on that to much negative feedback create high order harmonics that we are very sensitive to. Cheever also discuss aural masking and the effect by adding such distortion to the playback system. But does this masking effect also apply to to some extent to intermodulation distortion? I have not a clue.
Is it so that we should focus on how much an amplifier deviates from our hearing aural harmonics? I had the opportunity to borrow a Benchmark AHB2 for a weekend. To listen to it and to measure its performance using my audio measurement system. From a pure "standard" measurement point of view its really hard to beat its performance. Super low distortion for example. But to me it was not playing musical. Transparent and with high resolution of course. Not engaging but very neutral. This amplifier is a technical masterpiece. Using forward error correction that from a measurement point of view more or less eliminate distortion. At least to very, very low levels. By the way, error correction, is to my knowledge a superior method to manage different kind of distortions compared to for example global negative feedback. But that's another story.
To me, there is more going on than masking effects by adding a falling level of low order harmonics. Maybe its about the improved dynamics?
Here is my idea... Instruments may be more clearly defined in all of its natural harmonic spectra by adding well defined low order harmonics. We get the masking effect and we also "enhance" the natural sound of voice and instruments if we add some harmonics that are inline with our hearing harmonics. We are very sensitive to unnatural and high order harmonic distortion and this would just make use of the way our hearing and perception of sound works. As long as we stay close to the aural harmonics we just get a more musical presentation. Without changing the timbre (I think). I think this might have a good effect on the holographic image as well. Hope these ideas may bring something to the subject.