STEREO BETTER THAN DOLBY DIGITAL???

I'm not sure if this is a serious post or not.
sure some things might sound better in stereo, this would be lp's recorded in stereo and cd's recorded in stereo.
DD isn't a sound format like stereo it's something different than that, i'm sure one of the experts will chime in.
For movies if they sound better in "stereo" then you have something wrong with the settings in the system.
DD can produce soundtracks in stereo or 5.1 or 3.0 or whatever the disc makes available.
Also you didn't say if you're watching dvd's or lu-rays.

Sounds like either a speaker calibration problem or the front speakers are a whole lot better than the center. It could also be that a particular movie is mixed with too much coming from the center channel. But over-all, movies in DD 5.1 should almost always be better than stereo. And yes, an in-expensive htib might not sound that good in DD. It probably doesn't have a very good DSP (Digital Signal Processor-the thing that seperates the channels) compared to a better receiver.

Music in stereo can be better than 5.1, and usually is. The mix is really relevant in whether music in 5.1 is as good, or better, than stereo. And some members just don't like music in 5.1.

Which system do you have and did you calibrate it at all? Maybe we can help you tweak it a bit.

Mp3s are a lossy format too.

What is the make and model of your HTiB.  Is the DVD player built-in, or is the HTiB just a receiver/speaker package.  If you have an external DVD player, how do you have it connected.  I have a feeling you have a connection or setting wrong if you're hearing what you describe.  

Regards,

Joe

We need some kind of firm budget. Amazon is taking pre-orders on the new Onkyo/HT-3300 5.1 system for $329. It would be an ideal in-expensive match to the PS3 for those on a small budget. Even this should trounce that RCA.

I strongly suspect the main problem is a calibration issue, especially since you say stereo sounds good.  You can spend the rest of your life buying new equipment, but unless you set it up properly, you will always have "problems".  Stereo typically doesn't require any calibration.  Surround sound does.

I would think the Onkyo 3300 would be better. And it has Audyssey automatic setup and room eq so it would do the speaker calibration for you.

Do you have your speakers set to "large" or "small"?

From the manual for your system:

Front Surround Sound Effect (FSsE)

Front Surround setting:

1. Press SETUP button on remote control to
show setup options.

2. Press Left or Right arrow buttons until F
SURR N is displayed.

3. Press Up or Down arrow buttons to select
between Y(Yes) and N (No).

4. Press Left or Right arrow buttons until
ROOM is displayed.

5. Press Up or Down arrow buttons to select
among S (SMALL), M(MID), L(LARGE).

Your selection will be stored automatically.

On many systems the small/large setting controls the cross-over point for the sub-woofer, which determines when (and if) bass is directed to the sub or the main speakers.  I've never seen one with a "mid" choice, and some of the other speaker settings referenced in the manual look - let's just say, "unique."  I'm not surprised you had trouble dialing this thing in properly, and seriously doubt it would be worth the effort to do so.  Good luck with that Onkyo. 

Regards,

Joe

I understand that what you want is the best sound, right now, out of the system you have. You are using the MP3 format, which is a lossy format, but you are consistanly using it for your testing. So, you should be able to hear a difference between the two modes. First, the loud voices in the center channel can be fixed by lowering the output of the center channel. In most receivers, this is mesured from -10db to +10db. But the sound quality may or may not get better with changes. First check to see that the output of the front speakers is at +10db. If not, you may want to adjust that. If the speakers have a decent frequency response, in other words, would sound better than a $30 boom box, this will make a difference. Also, see if there is any sort of equalization settings and try the different ones for what sounds best to you. The stereo separation would most likely be due to the DSP, as you were told. But, why stereo sounds better than Dolby Digital would possibly be due to the movie itself, the settings of the movie sound, or the sound of the HTiB.
First, the movie may have only been recorded in stereo, even older movies were in mono. Top Gun was one of the first to be recorded in Dolby Surround. Another was Back To The Future. They have been recoded into Dolby Digital.
Secondly, when a movie loads, and you are at the main menu, you have to go to settings to choose Dolby Digital, DTS, etc. It will most likely default to 2 channel audio if you don't choose which would make stereo sound better.
Also, the stereo setting won't put as much a strain on the amplifier as would 5.1, 6.1, etc. audio will. If you look at the specs. in the manual, you will notice difference in the performance of the amplifier output in stereo mode vs. surround mode.
I have a THX Certified receiver. If I play a movie in Dolby Digital or DTS, it sounds good enough that I don't mind it. But, there is a slight loss of treble compared to stereo. But, for playing music, Dobly Digital stinks! The sound quality is as if I was using a handheld transistor radio. Only stereo replicates the sound quality of the original recording. Maybe it is different with music recorded in 5.1, but I don't know of any.
Also, even on my receiver, in stereo mode, the music is louder at the same volume with what seems to be a better dynamic range.