I've been looking for answers to this question as well. Also, does anyone have a list of decent sites to submit your RSS feed to?
Well i submitted my site to few sites and i can say that i received a little traffic and some of them even subscribed to my rss so from my own experience it helps as long you submit to quality RSS directories. I will make a list shortly and update this thread.
It helps only if you update your content frequently. Then you have a better chance to appear closer to the top of a relevant category page and some people will click through. So, my answer is yes - it helps.
yeah, links from Rss helps in both the ways. Improves backlinks, Improves your keyword position in serp But, don't use the total content in Rss description. Then, it becomes duplicate content and may drop your keyword position.
Thanks for the help. I am concentrating more on RSS now. I am also try to do Article submission and directory submission but is that link exchange more helps than help techniques?