141001-2203 EDT
SceneryDriver:
Your discussion was good, but I have some slight differencies of perspective,
RS-485 is only a three wire system because of the physical limitations of unisolated devices with respect to common mode voltage, or the voltage difference between sender and receiver. Inherently RS-485 is a balanced two wire differential signaling system. With existing commercial components and isolation it can function with only two wires.
I can achieve high speed (115 kbaud) and high reliability communication (no errors in 100s of millions of bytes) over long distances with a twisted pair and no shield. The shield actually reduces maximum distance. However, in many situations a shield plus twisted pair is important.
Termination of the transmission line is usually important, but it is line length and data rate dependent. Optimum performance may be achieved with line termination resistances somewhat greater than the characteristic impedance of the transmission line. I often use 249 ohms.
Not directly related to the discussion here are some waveforms I generated to discuss RS-232 communication, but these show some reflected signals and the effect of source impedance. All were with a high load impedance.
See
http://beta-a2.com/cat-5e_photo.html
.