All very interesting, Andy but my example is still correct, right? The 4K bin size will miss any impulse with a less than 100mS duration! Now, this suggests, as you have already pointed out, that bin size is critical in FFT use & determines much about the FFT & it's correct analysis. I have seen a contention, with which I tend to agrre, that in this audio field, there is a group-think mentality about FFTs.
I am just getting caught up here again. Your example is still not clear to me. If you have a narrow time-domain impulse in the original analog signal, that may violate the sampling theorem. The sampling theorem does not say you can reconstruct
any signal from its samples. The sampling theorem only says that you can recover a
strictly bandlimited signal from its samples. In that context, "strictly bandlimited" means the Fourier transform of the signal has a magnitude of zero for all frequencies greater than some frequency fmax. In practical terms, this means putting the signal into a brick-wall low-pass filter before digitizing it. All correctly implemented A/D converters do this. Said filter will spread out the impulse in time and smooth it out, thus making the "narrow pulse" argument null and void. If you don't like that, then the answer will be an outcome of the "analog vs. digital" debate and not of the "measurement vs. listening" one. It's an inescapable consequence of proper application of the sampling theorem.
Regarding your later quotes of Kaiser, an important distinction needs to be made, and that is one of
signal analysis vs.
system analysis. In signal analysis, one might want to find the spectrum of a signal, or go backwards and find a signal from its spectrum. This is the domain of the DFT and inverse DFT. Nowhere in this analysis does nonlinearity come into play. But if you have a
system that corrupts a signal in a nonlinear way, that's a different story altogether. Without having a complete mathematical description of such a system, which in general involves knowing an infinite number of terms in its Volterra series representation, we cannot know everything about how it affects that signal. But this is entirely different from, and irrelevant to obtaining the spectrum of a signal, and the reverse process of obtaining a signal from its spectrum.
So in the context of recovering a signal from its spectrum and vice versa, nonlinear system theory and related considerations are irrelevant.