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Next time you have a chance, put on some acoustically sealed headphones and sing or talk into a mic with the complete signal delayed by 1 second.
The effect on your ability to even speak is disastrous, it is almost impossible.
For me, it is the extrapolation of this effect, even down to very small delays that I so dislike, when the delay is very small the detrimental effect on performance is very small, but it is real IMHO and experience.
I see no arbitrary figure at which this effect fails to make a difference
I respectfully disagree with your extrapolation.
If I do a 24db boost at 2k on my drums they sound horrible
At what point does it start to sound ok?
Should I never boost drums at 2k in any amount because it sounded horrible at 24db?
There are many grey areas in audio & I think the effect of latency is one of them - there are however ranges for most things that work for most people.
This is not to say that it's wrong to be at the extremes if it works for you.