s research (assuming it's done properly) is that younger people think MP3 sounds "better." If that's true I think there may be some interesting reasons behind this.
Well, psychoacustic processing does a lot of neat things while actually lowering the quality in a technical sense. And the term psychoacoustics itself says it all.
For example a usual compressor/limiter/gate will actually distort the signal and cut off some stuff, but will also produce a result which is more "pleasant" and "punchy" for the listener. And let's not even mention all the discussions about "warm" sound and tubes - technically inferior results, acoustically superior results. So guess that's the effect we have here - people got used to booming bass and lacking mids.