When is good enough enough?
Interesting question.
I have been meaning to post an answer for a while. I am about ready (financially and emotionally) to upgrade my receiver, (and maybe seperate amps too!) DVD and speakers. and thanks to the Internet Direct companies like Axiom, and Audioholic and other forums, I am thinking that I will be able to put together a pretty much "state of the art" sound system, at a semi reasonable price.
I never thought I would be able to even come close to a state of the art sound system! I would jokingly tell people, that even if I won a SMALL LOTTERY, I would not be able to afford my ultimate HT setup! (It would take a LARGE lottery for me to justify that kind of money!)
BUT, I go home, and listen to my CURRENT system every day, and I am very happy with it, and, while I know what I am missing, if I had to listen to my current system for another 10 years, I would be content:
Pioneer Elite STX-V14 (1999)
B&W 202 L-R (1993)
Pinnicle Center Channel (2001)
Radio Shack LX5 Pro (or something like that, the one with the Linaeum tweeter) 2000
Toshiba 3901 DVD (1999)
While my speakers ARE B&W, they were the lowest priced (or 2nd lowest priced) B&W speakers available at the time, but I did compare them to speakers costing 2-3 times what I paid, and I was very happy with my purchase.
While I am looking forward to my new purchases, I keep on thinking "what will I REALLY have when it is all purchased, that I do not have now?"
Interesting subject that you brought up!