I was just thinking about this last night after the CSN show I attended. It occurred to me that the dynamic range is what gives the music life, the organic feel it produces. When compressing the dynamic range music just isn't the same. Maybe this is why so many prefer live music over recorded.
Or live recordings over studio; I realize live recordings are compressed too but I seem to prefer live recordings. Is it the "sense" of dynamic range, arrangements of songs, the more raw and powerful feel of live? I don't know.