I don't understand the balanced / unbalanced thing. Some gear has balanced ins and outs, while other gear has unbalanced. There's balanced and unbalanced cables, etc. HELP!
It is simply two different ways of transferring signals from box to box. Balanced differential has better noise immunity, single-ended (unbalanced) is cheaper. We all mix them together all the time in order to make our rigs work. Read through that thread, and in particular chase down the links to reference materials mentioned in it. It's a lot to read, but it covers a lot of the hows and whys. Then, after you've read it through, come back with any questions...
Thanks for the help here, and your contributions in the discussion you linked. It makes a lot of sense now! The one question I have is this: is is actually BAD to use balanced cables between unbalanced devices?